OREANDA-NEWS. July 07, 2015. Singapore’s Healthcare Sector includes companies that provide hospital, clinical and ancillary services to providers of medical supplies, ranging from cleanroom attire to high-tech medical equipment and providers of pharmaceuticals, including western and traditional Chinese medicines.

The sector has also showcased some of Singapore’s most liquid stocks in the first half of 2015 in terms of turnover velocity. Turnover velocity compares the total traded value of a stock to its market capitalisation over a period of time, which is then annualised. The 10 most active healthcare stocks of the first six months of 2015 averaged a turnover velocity of 177.7%. Note this does not include Singapore O&G, which was listed one month ago.

As noted in the recent Market Update - Singapore’s Healthcare Index Advanced 21% in First Six Months of 2015 (click here) - the SGX Healthcare Index is an indicative index comprising stocks that report at least half their revenues from healthcare in the last financial year and REITs with investments in healthcare facilities. The 10 most active healthcare stocks of the first half of the year maintain an approximate 31.7% weighting in the Index and averaged a 26.4% gain in the 2015 year thus far. Over the 2015 year through to the Friday close, the indicative healthcare Index generated a 20.7% total return.

The 10 most active stocks of the Healthcare Sector in the first half, together with their respective performances, are tabled below. For more details on these companies, click on the stock name to view the full profile in SGX StockFacts.

Name SGX Code Index Weight % Price Change YTD Month-end Market Capitalization SGD Actual Trade Value Net SGD Actual Turnover Velocity
International Healthway Corporation 5WA 2.65% 9.1 470,470,852 284,861,752 726.58%
AsiaMedic 505 0.31% 50.0 24,463,643 5,008,713 245.69%
QT Vascular 5I0 1.32% -40.3 192,877,076 25,736,299 160.12%
Healthway Medical Corporation 5NG 1.18% 23.4 116,346,709 12,800,373 132.02%
Q & M Dental Group (Singapore) QC7 3.07% 72.3 532,059,388 48,897,267 110.28%
Biosensors International Group, B20 10.00% 38.5 1,257,944,768 99,147,215 94.58%
Cordlife Group P8A 2.72% 28.1 280,041,142 21,093,557 90.39%
Tianjin Zhongxin Pharmaceutical Group Corporation T14 10.00% 51.1 343,175,400 23,953,172 83.76%
Medtecs International Corporation 546 0.36% 0.0 25,715,193 1,739,587 81.18%
UG Healthcare Corporation 41A 0.12% 31.9 49,199,490 2,146,740 52.36%

Source: SGX StockFacts (Data as of 3 July 2015)

A potential acquisition was recently proposed by International Healthway Corporation of all the issued and paid-up ordinary shares in the capital of Healthway Medical Corporation by way of a scheme of arrangement. Details on the initial announcement on 19 June can be found here.

As illustrated in the table below, on a market capitalisation weighted basis, stocks categorised to Healthcare by the Global Industry Classification System (GICS®) were the best performers in Singapore in February and May and the second-best performers in March. All-in-all the Healthcare Sector was the second best performing sector in the first and second quarter of 2015.