5 Companies with Shareholder Return above 100% for the Past 3 Years

Shareholder Return is the total amount of capital gains and dividend received from investing in a certain stock.

A capital appreciation is the change in market price of the stock from the time it was purchased to the date it was sold. Dividend received is the dividend income paid out by the company from its earnings while the investor still owns the stock.

In this article, we will be looking at 5 companies that have achieved a return of more than 100% for the past 3 years

• Rex International Holdings Limited (SGX: 5WH)

• Riverstone Holdings Limited (SGX: AP4)

• Medtecs International Corporation Limited (SGX: 546)

• VICOM Limited (SGX: WJP)

• Cortina Holdings Limited (SGX: C41)

1) Rex International Holdings Limited (SGX: 5WH)

Rex International Holding Limited (“Rex”) operates as an independent oil exploration and production company. It operates through Oil and Gas, and Non-Oil and Gas segments. The company is involved in the oil and gas exploration and production activities with a focus in Oman and Norway. Rex International Holding Limited was incorporated in 2013 and is headquartered in Singapore.

Despite the sluggish performance of global oil prices, Rex only suffered a negative return of 5.95% and 13.56% for a period of 3 month and 1 year respectively.

However, in the long horizon, Rex has registered a shareholder return of 119.44% and 203.85% in a period of 2 years and 3 years. This can be seen from the positivity from the go-ahead of the development of the oil field in Oman and Norway.

Rex’s share price is last traded at S$0.145, with a market capitalisation of S$188.84 million.

2) Riverstone Holdings Limited (SGX: AP4)

Malaysia-based Riverstone Holdings Limited (“Riverstone”) is listed on the Mainboard of Singapore Exchange since 2006 and is a global market leader in the manufacturing of nitrile and natural rubber cleanroom gloves used in highly controlled and critical environments as well as premium nitrile gloves used in the healthcare industry.

With the various positive news on COVID-19 vaccine, Riverstone’s share price suffered a negative return of 33.67% in the 3-month period as investors are worried that the demand and selling price of gloves will not be sustainable.

However, over the longer term, we can see that Riverstone has achieved a 3 Year return of 174.8%, with a significant increase in capital appreciation and a growing dividend payout.

Riverstone’s share price last traded at S$1.26, with a market capitalisation of S$1.87 billion.

3) Medtecs International Corporation Limited (SGX: 546)

Medtecs International Corporation Limited (“Medtecs”) is an integrated healthcare product and services provider in Asia Pacific, and a manufacturer and distributor of medical consumables for the healthcare industry. Started in the Philippines in 1989, the Group has established its presence in the United States, Europe and the Asia Pacific region.

Today, the Group has offices in Singapore, Hong Kong, Taiwan, the Philippines, Cambodia and China.

Like Riverstone, Medtecs’ share price has suffered a negative return of 34.87% for the past 3 months due to the positive news about the COVID-19 vaccines.

However, due to the COVID-19 pandemic, Medtecs has seen its revenue and profit rising sharply due to the huge demand for Personal Protection Equipment. Its 1 Year return amounts to 2773.53% and the longer period of 3 Year amounts to a return of 1978.72%.

Medtecs’s share price last traded at S$1.00, with a market capitalisation of S$549.41 million.

4) VICOM Limited (SGX: WJP)

VICOM Limited (“VICOM”) is the largest technical testing and vehicle inspection company in Singapore, offers a comprehensive range of testing and vehicle inspection services at eight locations. VICOM offers road tax renewal, transfer of vehicle ownership and sale of motor and general insurance. The Company carries out checks on in-vehicle (“IU”) units, speed limiters, overloaded vehicles, tinted glass and pre-registration requirements of parallel imported vehicles. VICOM also offers accident reporting and cost adjustment surveys-before-repairs.

Across the period of 3 years, VICOM’s total shareholder return amounts to 126.89%. Majority of these returns were generated through the payout of dividend to shareholders. As VICOM’s business model is cash generative by nature, the company can afford a high dividend payout while sustaining the normal business operations.

VICOM’s share price last traded at S$2.14, with a market capitalisation of S$758.78 million.

5) Cortina Holdings Limited (SGX: C41)

Cortina Holdings Limited (“Cortina”) is focused on the retail and distribution of luxury watches. Some of the brands it carries include Audemars Piguet, Baume & Mercier, Blancpain, Bvlgari, Cartier, Chopard, Chronoswiss, Corum, Gucci, Omega, Patek Philippe and Piaget. The Company's retail operations commenced in 1972. Since then, its retail business has grown from a single retail outlet in Colombo Court to 4 outlets in Singapore.

Over a period of 3 years, Cortina generated a total shareholder return of 180.67%, of which, the capital appreciation amounts close to S$1.30 while the dividend payout stands at S$0.165.

On 18th Nov 2020, Cortina has proposed to acquire rival Sincere Watch for $84.5 million in cash. The proposed acquisition will provide Cortina with exclusive distributorship rights to the Franck Muller brand in 12 countries within the Asia-Pacific. With this positive news, its share price has risen sharply and its total shareholder return in a 3-month period amounts to 42.05%.

Cortina’s share price last traded at S$2.04, with a market capitalisation of S$337.78 million.

Conclusion

The Shareholder return metric represents a figure of the overall financial benefits generated for shareholders.

From the above-mentioned companies, some of the companies did not pay out any dividend, but rather focusing on the capital appreciation while some companies’ return in terms of dividend payout is much higher than the capital appreciation.

Therefore, investors should look closely at the breakdown of the shareholder return before choosing the right company to allocate in their investment portfolio.

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