Best Singapore Dividend Stock To Buy 2025



DBS (D05) is the single best dividend stock a dividend investor can add to their portfolio. Here are the top 3 reasons why DBS is the best dividend stock an investor should include in their dividend portfolio. DBS is Singapore's largest bank and is one of Asia's leading banks. 

1. Dividend Per Unit (DPU) Growth Rate 

Dividend per unit (DPU) is the amount of dividend a single stock pays out when you own the stock. DPU growth rate is one of the most important criteria a dividend investor must take into account when purchasing a dividend stock for the long term, as it ensures your dividend income will gradually increase over the years as you own the stock. This is the most attractive quality of DBS stock. After analysing most blue-chip dividend stocks in SGX, DBS' DPU growth rate over the past 20 years is the highest. 

DBS has an insane DPU growth rate over the years. It is one of the fastest-growing DPU dividend stocks listed on SGX. In 2024, DBS DPU increased by 26% compared to its 2023 dividends. To put things into perspective, a $1000 investment in DBS 5 years ago in 2020 will give you a dividend yield of around 10% in 2024 due to DBS's increase in DPU. From 2020 to 2024, DBS DPU increased by an astonishing 185%! This is a super-accelerated DPU growth rate for any dividend stock. The further back you go, the more insane the dividend yield increases. You can see DBS's DPU track record and DPU increase at the DBS website. 

2. Dividend Track Record 

A long dividend track record is one of the key criteria a dividend investor should look for in a dividend stock, as it ensures a steady dividend income without worrying about the stock's ability to pay out dividends. DBS has a long track record of yearly dividend payouts since 1998. You are almost guaranteed a yearly dividend payout when you own DBS shares. Furthermore, DBS pays out quarterly dividends, which is ideal for investors using dividend income to retire. You can rest assured you will be receiving lifelong dividend payouts. 

3. Stability 

DBS is one of Singapore's oldest and most reliable blue-chip dividend stocks listed on SGX. It is also Singapore's main Bank and is closely tied to Singapore's economy. Due to its large market capitalization and factors such as above, it is a stable, reliable dividend stock that an investor can count on. They have a solid business model with good management and a healthy balance sheet with ample cash flow to tide them through tough times. In the near-impossible scenario where DBS collapses, Singapore's government will likely bail out DBS as it is the main Singapore bank. 

Due to the above factors, I am personally looking to add an estimated $1,000,000 worth of DBS stocks to my portfolio over the next few years when the insurance payouts start paying out. I am extremely confident it is the single best dividend stock a dividend investor in Singapore can possibly add to their portfolio for long-term term stable, high dividends. 

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