Last week, I mentioned about my inflection point when the value of the shares I bought exceeded those that I sold. It was a fresh change that came after a continuous 8 week of shares sales. This week, the buy trend continues. In fact, I didn’t sell any.
Fo reference, STI index dropped almost 3%.
Just to share my transactions this week with you.
(1) I bought UOB shares at end of the week following the news of increased interim dividend distribution. At this price level, UOB dividend yield is an attractive 4.7%, which is comparable to DBS. I am a bit wary of DBS as I noticed it is quite volatile => maybe it is a more popular gaming counter for traders. I am not one of them and I prefer to sleep comfortably than worry about what the price will be tomorrow.
(2) I also bought SATS its share price declined after ex-div and probably hit by the concerns that surfaced from the last quarter results. It is a counter that has a relative resilient business that I like. In the long run, I think it should be ok. I will usually accumulate as it declines to $4.8 or below. Just to share, since 2016, it has been increasing its dividend distribution by 1 cent per year. For 2018, it was 18 cents, translating to 3.75% dividend yield.
(3) I bought Keppel Corp too as it reached $6.10. Its share price has been on a retreat since mid July and literally fell off the cliff last week. I am not sure why. Maybe its the knee jerk reaction to the fall in oil price or the fear that Temasek may influence the Keppel Management/Board to take over SembCorp Marine (saving the shareholders, relieve SembCorp). Sembcorp Marine appears to be a really bad situation now. In my view, not a bad thing if Keppel can get it at a reasonable/cheap price and need not assume potential liability associated with the current investigation. Again, I usually accumulate at $6 and below. If Keppel Corp can maintain the same dividend as last year, then dividend yield is 4.75%, not bad actually.
(4) Guess what I also bought SPH (Surprise Surprise !!) => it is more speculative than anything. I haven’t seen SPH at $2.15 before. But this steep price decrease is hardly surprising if we tracked the dividend distribution of SPH over the years. 2010 was 27 cents, 2015 was 20 cents and 2016-2018 was 18, 15, 13 cents respectively. I think this year dividend will go lower even, maybe 11 or 12 cents. Allowing me to be pessimistic, if its share price doesn’t bounce back and thus I hold SPH for dividend, assuming that I can only get 10 cents dividend, the dividend yield is still a decent 4.65%. I don’t think it will collapse right, or will it?
How about you? What did you do last week?