It has been nearly three and a half years on since my last post on Wing Tai. Sadly, I have not done major thinking / investing in these three and a half years. My personal life has moved in leaps and bounds though - I changed jobs (for a worse deal in monetary terms) but I got married and have a one year old baby. I also bought my own property to live in since I got married.
So what inspired me to post this? This post. Not merely because the author's life resonates with my life - growing up in a lower middle income family and my (used-to) endless comparisons with others on money BUT because of the sagely advice the investing community gave to him after. It warms the cockles of my heart knowing that as much as the investing community is about making money, we are making money for a purpose, not as an end in itself, and that we truly care about imparting the right values to others.
Anyway, since this is a financial blog, I have decided to discuss the recent additions to my small portfolio and to share my portfolio through this platform. Hopefully, this will spur me to be more disciplined with my investments.
SIA Engineering
I bought 1 lot of SIA Engineering at 3.78 recently. Reasons for buying this share? Click here for key statistics.
1. I have decided that dividend stocks are the way to go in this 6 year bull market. SIA Engr has a dividend yield of 4.6%
2. 5.42B market cap and gross profit of 796M. If gross profits remains the same, it would take about 7 years to break even, assuming that I had paid in full to a private buyer for this company. In other words, this is a company that a real investor would be keen in.
3. Leverage free cash of 40 m. Cash is king!
4. Growing industry. We are expanding to have even more terminals. i.e. even more planes to land in Singapore. Surely SIA engineering would have better business? Also, with the boom in budget airlines, i think more servicing would be required.
Not so good stuff:
1. Unfortunately, i never really read why the yoy quarterly earnings is a negative sum
2. book value per share is only 1.16, which means i am overpaying by 4 times (P/B ratio) for my shares
3. PEG ratio of 3.75 seems a bit high to me
4. only bought one lot because i wanted to conserve my smallish war chest.
AIMS AMPI REIT
I bought 2 lots of this REIT. Reason for buying this share?
1. high dividend yield. remember? i want to go into dividend stocks now.
2. commercial properties / warehousing / logistics space. I think warehousing is something that would be highly in demand in the future. With more online shopping / online shops, these shops need space.
Updates on Wing Tai
Since my last post was on Wing Tai, i will give a short update. I held Wing Tai through the years, and sold it off early last year. I did not sell during the share buy back. My selling price was 1.95. Pretty ok, but it went up as much as 2 dollars plus after that. I am still looking at it - when it went down below 1.7 i really wanted to buy recently but did not make the purchase. Property market is shaky (which sucks for me) but in the long run, i think Wing Tai will still do well.
I will try to share my portfolio the next time. For now, I plan to sell off some US shares to get more power for my war chest!
So what inspired me to post this? This post. Not merely because the author's life resonates with my life - growing up in a lower middle income family and my (used-to) endless comparisons with others on money BUT because of the sagely advice the investing community gave to him after. It warms the cockles of my heart knowing that as much as the investing community is about making money, we are making money for a purpose, not as an end in itself, and that we truly care about imparting the right values to others.
Anyway, since this is a financial blog, I have decided to discuss the recent additions to my small portfolio and to share my portfolio through this platform. Hopefully, this will spur me to be more disciplined with my investments.
SIA Engineering
I bought 1 lot of SIA Engineering at 3.78 recently. Reasons for buying this share? Click here for key statistics.
1. I have decided that dividend stocks are the way to go in this 6 year bull market. SIA Engr has a dividend yield of 4.6%
2. 5.42B market cap and gross profit of 796M. If gross profits remains the same, it would take about 7 years to break even, assuming that I had paid in full to a private buyer for this company. In other words, this is a company that a real investor would be keen in.
3. Leverage free cash of 40 m. Cash is king!
4. Growing industry. We are expanding to have even more terminals. i.e. even more planes to land in Singapore. Surely SIA engineering would have better business? Also, with the boom in budget airlines, i think more servicing would be required.
Not so good stuff:
1. Unfortunately, i never really read why the yoy quarterly earnings is a negative sum
2. book value per share is only 1.16, which means i am overpaying by 4 times (P/B ratio) for my shares
3. PEG ratio of 3.75 seems a bit high to me
4. only bought one lot because i wanted to conserve my smallish war chest.
AIMS AMPI REIT
I bought 2 lots of this REIT. Reason for buying this share?
1. high dividend yield. remember? i want to go into dividend stocks now.
2. commercial properties / warehousing / logistics space. I think warehousing is something that would be highly in demand in the future. With more online shopping / online shops, these shops need space.
Updates on Wing Tai
Since my last post was on Wing Tai, i will give a short update. I held Wing Tai through the years, and sold it off early last year. I did not sell during the share buy back. My selling price was 1.95. Pretty ok, but it went up as much as 2 dollars plus after that. I am still looking at it - when it went down below 1.7 i really wanted to buy recently but did not make the purchase. Property market is shaky (which sucks for me) but in the long run, i think Wing Tai will still do well.
I will try to share my portfolio the next time. For now, I plan to sell off some US shares to get more power for my war chest!
