S68.SI Stock Today: January 03 — SGX outlines dividend growth to FY28
Income investors in Singapore keep asking what the best retirement dividend stock is right now. Singapore Exchange (S68.SI) is in focus today after outlining a plan to raise dividends through FY2028 while keeping a strong net cash profile. The stock trades around S$17.05, with a trailing dividend per share of S$0.3925 and a 2.3% yield. With high margins, steady cash flow, and a central role in local markets, SGX offers visibility for retirement income investing without chasing risky yields.
Why SGX could anchor retirement income
SGX has signalled a path to grow shareholder payouts through FY2028, giving investors rare visibility in the Singapore market. Clear intent matters for the best retirement dividend stock ideas because it lets us plan cash flows. While the company has not published exact step-ups here, management’s focus on steady, sustainable increases fits its history of measured capital returns and supports long-term portfolio planning for Singapore dividend stocks.
Dividend safety starts with cash. SGX shows net debt to EBITDA below zero, cash per share near S$1.41, and a current ratio of 2.02. Free cash flow per share sits around S$0.74, and its dividend plus capex coverage ratio is about 1.90 times. These figures back the case for the best retirement dividend stock candidates, where predictable cash generation supports a growing payout policy.
At S$17.05, the trailing dividend of S$0.3925 implies a 2.3% yield, modest but well-covered. Price performance has also been strong, with gains of about 49% in 1 year and 87% in 3 years. That mix of steady income and capital growth can suit retirement income investing, especially when the company outlines multi-year dividend growth to FY2028.
Valuation and risk checks
SGX trades at 28.2 times earnings and 8.29 times book, richer than many Singapore dividend stocks. The premium reflects quality metrics, including a 30.6% return on equity and net margins near 47%. The PEG ratio of 0.28 on trailing data suggests earnings growth supports the price. For investors searching for the best retirement dividend stock, paying up for quality and visibility can be reasonable.
A 59% payout ratio leaves room for reinvestment and measured dividend growth. Operating cash flow per share of roughly S$0.81 and free cash flow near S$0.74 cover the dividend comfortably. Income quality above 1.0 and negative net debt to EBITDA reinforce resilience. Together, these indicators support SGX’s stated aim of dividend growth to FY2028, a key requirement for retirement income investing.
Lower trading volumes, macro slowdowns, or fee pressure could weigh on earnings. Competition in derivatives and data may impact growth. Regulatory changes are another watchpoint. Currency swings in the FICC segment can also affect results. We suggest tracking quarterly volumes, pricing, and cost discipline. The next earnings update on 29 January 2026 will be important for payout clarity and confirmation of SGX dividend growth pacing.
Technical setup and levels
Momentum is balanced. RSI at 53.8 is neutral, while ADX near 12.8 shows no strong trend. MACD is slightly positive. Money Flow Index around 71 suggests some buying pressure. This backdrop suits investors who value entry discipline when hunting the best retirement dividend stock, as it reduces the risk of chasing price during overbought conditions.
Volatility looks contained with ATR around S$0.20. The Bollinger middle band near S$16.91 is an initial support zone, with S$16.53 the lower band. Resistance sits around S$17.29 to S$17.37 from the upper Bollinger and Keltner levels. Day range of S$16.96 to S$17.14 fits this picture. We would watch closes above S$17.30 for momentum confirmation.
Portfolio fit for Singapore dividend investors
SGX’s diversified fees across cash equities, derivatives, and data make it a steady core holding. It can complement higher-yield REITs by adding stability and growth. For more ideas on passive income building, see this overview from The Smart Investor source. The blend of visibility to FY2028 and balance sheet strength helps SGX rank among the best retirement dividend stock options locally.
We prefer staged buys near S$16.9 to S$17.0, using the middle band as a guide, and review after earnings on 29 January 2026. Reinvesting dividends can compound returns. For broader context on dividend trends, see this roundup of companies that raised payouts recently source. Keep position sizes modest until results confirm SGX dividend growth progress.
Final Thoughts
SGX brings three things income investors value most: visibility, coverage, and quality. Management’s path to increase dividends through FY2028 aligns with steady cash generation, a net cash profile, and strong returns on equity. While the yield is moderate at about 2.3%, coverage looks healthy, and pricing power in derivatives and data should support future payouts. Valuation is not cheap, so we would scale in near support and reassess after the 29 January 2026 update. For those building a Singapore dividend portfolio, SGX can serve as a core holding. If you seek the best retirement dividend stock for reliability over headline yield, SGX merits a close look, with careful sizing and ongoing review.
FAQs
Yes, SGX suits retirees who value stability, clarity, and cash coverage over very high yield. It offers a plan to grow payouts through FY2028, backed by strong free cash flow and a net cash position. Margins and returns on equity are high, and earnings are diversified across equities, derivatives, and data. The yield is moderate, but the payout looks well covered and designed to rise steadily over time.
At around S$17.05, SGX’s trailing dividend of S$0.3925 implies a 2.3% yield. Management has outlined a path to grow dividends through FY2028, though specific step-ups may vary with earnings and board approval. Coverage metrics, including a payout ratio near 59% and strong free cash flow, give room for increases. Actual future dividends will depend on business volumes, costs, and market conditions each year.
Safety looks solid. SGX runs with net cash, a current ratio near 2.0, and free cash flow that covers the dividend. The payout ratio is about 59%, leaving room for reinvestment and growth. High margins and diversified fee streams support resilience. No dividend is guaranteed, but SGX’s cash and earnings profile compare well to many peers, which is why it ranks among the best retirement dividend stock ideas.
We would monitor support near S$16.91, the Bollinger middle band, with deeper support around S$16.53. Near-term resistance sits at S$17.29 to S$17.37. Momentum is neutral, so scaling entries around support and adding on confirmed closes above resistance can help manage risk. Also watch the 29 January 2026 earnings update for guidance on SGX dividend growth to FY2028 and any changes in trading volumes.
Disclaimer:
The content shared by Meyka AI PTY LTD is solely for research and informational purposes. Meyka is not a financial advisory service, and the information provided should not be considered investment or trading advice.
