Capitaland Share Price and Stock Investing Info | Focus on Singapore Stock Market Today
What is CapitaLand?
It is a Singapore-based real estate company that boasts a diverse portfolio in different sectors of the real estate market that it owns and manages.
CapitaLand history and operations
The company was established in November 2000 through a merger between Pidemco Land, whose parent company was ST Property Investments, and DBS Land, a DBS Bank subsidiary. CapitaLand operates as a holding company, and it offers a variety of services, including consultancy. However, its core focus is real estate investment and development. (Source: CapitaLand)
CapitaLand has a robust real estate portfolio in numerous asset types, including residential, lodging, integrated development, urban development, retail and commercial properties. The company is based in Singapore, but it operates in more than 30 countries. Nevertheless, its home country and China are its main markets. CapitaLand eyes a robust presence in major markets such as Europe, Vietnam, India, Australia, and the U.S.
The company happens to be a pioneer in the REITs market in Singapore. It launched the country’s first REIT in 2002, and it currently has 6 REITs under its management in the city-state. CapitaLand was able to expand its operations in a short period of time, partly courtesy of its focus on sustainability and community wellbeing.
CapitaLand’s management team
It takes an experienced team to run a company like CapitaLand and achieve its success and growth level. Here is a list of the people at the company’s helm. (Source: CapitaLand)
- Lee Chee Koon- Chief Executive Officer.
- Jason Leow- President of Singapore and International CapitaLand Group.
- Jonathan Yap- President of CapitaLand Financial.
- Lucas Loh- President of the company’s operations in China.
- Andrew Lim- Chief Financial Officer-
- Manohar Khiatani- Senior Executive Director
- Kevin Goh-CEO of Capitaland’s lodging segment.
- Tan Seng Chai- Chief Corporate and people officer.
- Lynette Leong- Chief Sustainability officer.
- He Jihong- CEO of Data Center and Chief Corporate Strategy Officer.
- Tan Yew Chin-CEO of CapitaLand Singapore
- Kng Kwee Tin- Head of Finance and Corporate Services.
CapitaLand share price and performance
CapitaLand stock are traded publicly on the Singapore Exchange. CapitaLand share price closed the latest trading session at 3.20 SGD with a market cap of 16.64 billion SGD. The stock currently has a 52-week low of 2.51 SGD and a 52-week high of 3.71 SGD. The stock price kicked off on a strong note in January, with the price rallying as high as 3.5 SGD by January 12. However, the price plummeted after that, reaching a year-to-date low of 3.1 SGD by February 22.
As far as its performance in the last 12 months is concerned, the pandemic had a notable impact on the company, causing the price to plummet from 3.5 SGD to sub 3SGD prices. CapitaLand stock price has since recovered some of the lost gains, but it continues to perform lower than its pre-COVID levels.
Has CapitaLand been a good stock to invest in?
The dividend growth in the last 20 years indicates a positive performance, but it takes more than to determine if a stock has favored investors. For example, if a stock has been consistently growing in terms of dividend payouts, but the share price has been declining, it is not as attractive to investors. However, when a stock price registers steady growth over the years alongside dividend growth, the stock is attractive to investors.
CapitaLand share price performance in the last two decades indicates strong growth areas, which peaked in 2007 just before the financial crisis obliterated some of its gains. It has since then experienced a lot of lateral movement. Fortunately, early investors continued to enjoy growth through strong dividend performance.
CapitaLand’s Dividend policy
CapitaLand has favored investors through a consistent dividend policy and dividend growth over the years ever since the company was founded. It paid out a dividend of 2 cents in 2000, and by 2006, the company’s ordinary dividend had grown to 6 cents. It was also the first year that it reported a special dividend at 12 cents per share.
The global financial crisis disrupted the company’s dividend growth, and it reflected the slight payout decline to 5.5 cents per share in 2008 and 2009. It went back up to 6 cents per share in 2010. By 2015 the dividend payout had grown to 9 cents and 12 cents per share by 2019. (Source: CapitaLand).
What to expect from CapitaLand moving forward
CapitaLand is committed to continued value generation for shareholders, and one of the ways it plans to achieve that is through sustainable investments and strategic focus. The company has been taking note of its growing global presence, and as such, it has formulated a focus on sustainability in an attempt to make a positive societal impact.
Sustainability has been a major conversation topic worldwide, especially with the rising concerns about the human carbon footprint negatively affecting the earth. CapitaLand acknowledges the need for the key players from different industries to lead by example as far as adopting strategies that make a difference. The company plans to develop a real estate portfolio focused on efficient resource utilization to target future communities that want to adopt a sustainable culture.
CapitaLand believes that its sustainability focus will be good for the environment and attractive to the market, especially in comparison to rival offerings. The real estate firm expects this focus to drive sustainable revenue growth in the future while generating value for its shareholders.
CapitaLand’s robust portfolio represents the company’s strong revenue position through which it has been able to maintain a strong presence and leadership in the real estate industry. The company’s current sustainability plans promise to continue tapping into more growth in the future, and if all works out well for the company, it will have set itself up for potentially impressive growth moving forward. Nevertheless, it is still important to consider market uncertainties that may impact industry performance, but diversification might prove to be a useful tool for watering down such challenges.