NOVEMBER TRANSACTIONS



I've been quite busy lately, as I'm in the midst of having my examinations, so I've not been able to write much.

For November, these are the transactions I made, as well as some updates on the companies that I'm holding:

I bought SingTel at $3.67 last week, which makes SingTel my third largest position. SingTel's special dividend of 3.0 cents from the proceeds of the NetLink Trust IPO was deemed to be underwhelming by the market, hence its share price declined after it announced its third quarter results. I believe that paying out only 3.0 cents may not necessarily be a bad thing, especially if the company is able to invest the remaining cash in better opportunities. SingTel's Amobee had also turned EBITDA positive, which is a welcomed development. 

I previosuly wrote about SingTel's dividends here: Are SingTel's Dividends Sustainable? 

My reason for buying SingTel was because my cash holdings took up quite a high proportion of my portfolio, ever since I sold half of my DBS shares early this year. I felt that $3.67 was a reasonable price to pay, as it represents an ex-dividend price of $3.58. This allows me to receive a relatively decent yield of 4.8%, based on its full-year ordinary dividends of 17.5 cents. Much better to put my spare cash to work rather than leaving them idling in the bank.

I applied for the IPO of RE&S Holdings, but was unable to be allocated any shares. I felt that it would have been a good bet as F&B companies here generally trade at rather high valuations.

I'm still looking to divest my SGX position, as trading volumes in our local market did not rise as much as I had expected. I'm currently still holding on to it, as I'm unable to find better opportunities, and I'm getting a yield of 4% on my cost. Earlier this month, SGX re-introduced a one hour lunch break from 12 to 1 pm daily, but it has not really affected the trading volume.

SATS, which has been on my watchlist for quite some time, surged up in the past month, after reporting better than expected earnings. Its valuations remain elevated, but I like how it has been leveraging on technology to increase efficiency, resulting in cost savings and higher profit margins. When Terminal 4 becomes fully operational, it should add to SATS' earnings.

As I continue to re-balance my portfolio, some companies that I'm interested in include ComfortDelGro, ST Engineering, MCT, Capitaland and GuoccoLand. I'm also looking at Raffles Medical and QAF, which have both also performed poorly recently. I'll do a write up on these companies after my examinations have ended.

Here's my updated portfolio as of 25 November 2017: My Portfolio 

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4 comments:

  1. Nice reallocation there from dbs to Singtel :)

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    Replies
    1. Hi B,

      Thanks for dropping by!

      Actually, I sold half of my DBS position early this year at $19. On hindsight, not a great decision! :(

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  2. Its interesting that we seem to have similar watchlist. Great job on the portfolio.

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    Replies
    1. Hi TUB,

      Thanks for dropping by!

      Great that we have similar watchlists, I like reading your posts too. Wishing you a great 2018 ahead! :)

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