Top tech stocks for traders to watch in Singapore
Discover what tech stocks are, why they’re so popular and find out which ones in Singapore you should be watching. Then, when you’re ready, learn how to trade CFDs on them.
What are tech stocks and why are they popular?
Tech stocks are the shares of companies focused on the technology sector – either researching, developing or manufacturing. They can include anything from semiconductors to software development businesses. They’re extremely popular stocks to trade globally as the industry is rapidly expanding, presenting trading opportunities.
Tech stocks can be quite volatile due to the fast-developing nature of the sector and the amount of competition between companies. This presents opportunities for CFD trading, going long or short depending on how you think the market will behave.
Top tech stocks to watch in Singapore
We’ve compiled this list based on the most traded Singaporean tech stocks in the local sector, according to the SGX.1 The information presented here is accurate as of October 2024.
Before we begin, it’s interesting to note that the 10 stocks that have achieved the highest net institutional inflow in the technology sector in Singapore over the first eight months of the year have an average total return of 15% when including dividends. This goes to show that tech stocks can create lucrative trading opportunities, depending on your outlook.
1. Venture
Venture Corp is a global technology solutions provider for research and development, process engineering, manufacturing and supply chain management.
It achieved a considerable net institutional inflow of S$94 million from January up to the end of August. It also realised sequential revenue growth from Q1 to Q2.
To potentially increase profits in the latter half of 2024, Venture is focusing on onboarding new customers, introducing new products and offering geopolitical risk mitigation strategies to clients.1
In early October, Venture appointed Wong Chee Kheong as group CEO as of 1 November. He isn’t a new face for the business, though – he served as COO from January 2022 to May 2023, and became CEO of Venture’s advanced manufacturing and design solutions (AMDS) group following this.2
2. Frencken
Frencken Group operates globally in a multitude of industries, including analytical life sciences, automotive, industrial automation, medical and healthcare, and semiconductors. It serves more than 50 countries and has an employee base of 3,700. It offers mechatronics engineering and precision engineering plastics (IMS) products and services.3
It’s not a large-cap stock, but its growth on the Singapore Stock Exchange (SGX) over the past few months has been notable – with a share price increase of 16%, so it’s worth keeping an eye on. Its profit is also expected to grow by 43% over the coming years.4
The Group’s stock price is generally volatile, however, which could present many CFD trading opportunities.
3. UMS
UMS Group is a semiconductor equipment manufacturer headquartered in Singapore, along with a US-based manufacturing company partner. It provides front-end semiconductor components and complex electromechanical assembly and final testing services – and has been around for more than 20 years.5
The group has recently expanded, having completed construction of its Penang facility. However, UMS has seen a slowdown in demand for its products in recent months. Its 2Q24 revenue dropped by 25% year-on-year, but did improve by 3.6% quarter-on-quarter. Having said that, the semiconductor industry is set to gain 19.2% year-on-year in 2024 and another 16.7% in 2025.6 These contradictory factors might create volatility in the company’s share price, leading to potential trading opportunities.
4. AEM
AEM Singapore Ltd was founded in 1992, and its mission is to provide the most comprehensive semiconductor and electronics test solutions to its customers. It specialises in testing high-performing processors for the AI era and serves the 5G, high-performance computing, memory, smart devices and automotive industries.7
The company’s share price increased 12% between August and September this year but has faced a steady decline overall over the past three years – 67% in fact.8
However, some analysts believe the company is about a generation ahead of its competitors, which puts it in an excellent position to grow in the long term, possibly seeing a greater demand for its testing capabilities.9
5. iFAST
iFAST Corporation is a global digital banking and wealth management platform based in Singapore, with additional footprints in Hong Kong, Malaysia, China and the UK.10
It’s a Singapore tech stock worth watching due to its high earnings over the past few quarters, with a total revenue of S$93.8 million for 2Q24. Similarly, net profit for the quarter grew four-fold year-on-year to S$16 million.
The company attributes its recent major success to the start of the Mandatory Provident Fund ePension (eMPF) service in Hong Kong.11 This is a digitised and centralised platform to enrol, manage, consolidate and review MPFs.
It also plans to extend its operations in the UK with a debit card launch, indicating future growth for the business.
How to trade tech stocks with us
- Create an account or log in
- Find a tech stock opportunity
- Click ‘buy’ to go long or ‘sell’ to short on CFDs
- Set your position size
- Take steps to manage your risk
- Open and monitor your position
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The information/research herein is prepared by IG Asia Pte Ltd (IGA) and its foreign affiliated companies (collectively known as the IG Group) and is intended for general circulation only. It does not take into account the specific investment objectives, financial situation, or particular needs of any particular person. You should take into account your specific investment objectives, financial situation, and particular needs before making a commitment to trade, including seeking advice from an independent financial adviser regarding the suitability of the investment, under a separate engagement, as you deem fit.
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