3 Singapore Blue Chips That Still Offer Value Beyond 5,000

The Straits Times Index recently climbed to unprecedented levels, surpassing the 5,000-point mark. Investors are grappling with the common apprehension of potentially missing out on further gains; this raises the question of whether it is still a good time to invest in equities.

Historical trends indicate that when indices reach new peaks, they often continue their upward trajectory.

However, new highs also correspond with higher valuations, making the choice of individual stocks critically important.

This analysis examines three companies that may still present value for investors.

$Singapore Telecommunications Limited(Z74.SI)$, or Singtel — A Defensive Growth Stock

First is Singapore's leading telecommunications provider, Singtel.

Valued for its stable earnings and cash flows derived from essential telecom services, Singtel has consistently been a reliable defensive growth stock.

In recent years, Singtel has actively diversified its operations through new digital initiatives.

With emerging business units like NCS and Nxera, the group is capitalizing on growing demand for connectivity services and data centers.

Notably, these segments boast higher profit margins and are already contributing positively to earnings.

The ongoing expansion of these areas is expected to support Singtel's future earnings growth.

Over the last ten years, the telecom operator has demonstrated resilient earnings and cash flows, enabling it to distribute consistent annual dividends.

For context, the group reported S$4.6 billion in operating cash flow for its fiscal year ending 31 March 2025.

Financially, Singtel has been lowering its net debt over time through a combination of operational cash flows and asset sales.

Its leverage ratio was 1.3 times as of 30 September 2025, down from 1.6 times a year earlier.

Singtel is currently valued at a forward price-to-earnings ratio of approximately 21.7, which is somewhat higher than its five-year historical average of 17.9 times.

Nevertheless, this premium valuation may be justified by the stability of its core telecom business and the growth potential from new ventures like NCS and Digital InfraCo.

$CapitaLand Integrated Commercial Trust(C38U.SI)$, or CICT — A Steady Income Provider

CICT distinguishes itself as a dependable dividend-paying entity, having distributed annual dividends consistently since 2002.

This reliable dividend stream becomes increasingly valuable in a high-valuation environment. While stock prices may fluctuate during market volatility, dividend income generally remains more stable.

A consistent income stream provides support during market downturns, allowing investors to retain their holdings and benefit from long-term dividend compounding.

CICT currently offers a trailing dividend yield of 4.8%, slightly below its five-year historical average of around 5%.

The trust's distributions appear sustainable, supported by its diversified property portfolio, strong occupancy rates, and proven ability to increase rents steadily.

The key insight is that a dependable annual income reduces dependence on capital appreciation for returns.

$ST Engineering(S63.SI)$, or STE — A Leader in Structural Growth

Finally, incorporating a long-term growth stock like ST Engineering helps balance the aforementioned selections.

STE maintains its robust long-term growth drivers in commercial aerospace and defense and public security, which remain firmly in place.

The group's order book, valued at S$32.6 billion as of 30 September 2025, provides clear visibility for future revenue and earnings.

With the aerospace sector continuing its post-pandemic recovery and global governments increasing defense expenditures, ST Engineering is well-positioned to sustain its revenue and earnings growth.

This growth path is further reinforced by STE's position as Singapore's primary defense contractor.

It also demonstrates that growth opportunities persist even when the market index is at record highs.