Singapore’s stock market has seen a substantial rise in share buybacks, with 57 primary-listed companies repurchasing S$1.26b worth of shares in the first five months of 2026. This marks a notable increase from S$930m in the same period of 2025 and S$505m in 2024. The surge in buybacks is led by Straits Times Index (STI) stocks, which collectively accounted for S$1.20b of the total.
The increase in buybacks is attributed to companies seeking to enhance financial metrics such as Earnings per Share (EPS) and Return on Equity (ROE), as well as to deploy surplus capital effectively. The Accounting and Corporate Regulatory Authority (ACRA) notes that buybacks can also take advantage of perceived undervaluation and reduce overall capital costs.
Among non-STI stocks, CSE Global led the buyback activity in May, purchasing 2 million shares for S$3.2m. The company’s buybacks are used to hold treasury shares for transfer under the CSE Performance Share Plan. Other notable non-STI buybacks included Hong Fok Corporation and Food Empire Holdings.
Secondary stocks like Jardine Matheson and Hongkong Land were also active, repurchasing US$217m and US$98m worth of shares, respectively. These buybacks align with broader capital allocation strategies aimed at value creation.
As companies continue to utilise buybacks as a strategic tool, the trend is expected to influence market dynamics and shareholder confidence in the coming months.
