It’s time to employ innovative strategies to boost valuations in Singapore stocks

INVESTORS often lament that most Singapore stocks are undervalued. To some extent, it is easy to appreciate their frustration.

Over 600 stocks are listed on the Singapore Exchange, but only under a third of them trade above book value, according to Bloomberg data. The median counter has a price-to-book ratio (P/B ratio) of around 0.6 times.

Even when considering counters with a market capitalisation of at least S$200 million, it’s notable that over half of them have a P/B ratio below 1.