SRS - Closing Status 21 Sep

Invested into CDL Hospitality Trusts (CDL HTrust) 5 lots this week under SRS portfolio when its share price weakened slightly.  Its dividend yield is at 5.30%; which is not great but not that really bad. I did not hold on to it but selling it all away for a 0.82% yield as l was unsure whether its share price is able to go above $2 mark.

I have also sold off Hutchison Port Hldg Trust (SGD) 8 lots.  Hoping to get into HPH Trust again at below 86 cents.  

With both CDL H Trust and HPH Trust now gone so l can actually re-invest the funds.  I reckon you are actually making the SRS funds working much harder with each time of investment and divestment within very short time period, at a gain.  Having "paid" some expensive lessons (FSL Trust, Foreland Fabrictech) under Cash portfolio, the prospective stocks need to be good fundamental companies.    

Portfolio walk since previous posting :-

+$2,289 Total Returns as of 14 Sep

+$179 Gains from sales of CDL HTrust and HPH Trust

+$461 Unrealised positions improved

+$2,929 Total Returns as of 21 Sep

previous posting :- SRS - Closing status 14 Sep

Cash - Closing Status 20 Jul

Foreland Fabritech
Ever since l have started being serious with stock market back in Sep'11 (10 months ago) l have suffered huge losses three times under Cash portfolio.  The third time is the most significant and it is concerning Foreland Fabritech.  I was attracted into Foreland because of its better profit warning on 14 Feb and because of this l was blinded by the anticipation of higher dividends.  A week after l have invested into Foreland then came the disappointment of a lower dividend rate announced on 28 Feb.  Its share price came crashing down in the immediate next two days on 29 Feb and 1 Mar.  Foolish me, l have averaged down twice in Mar'12 and May'12.  It was the last straw when it announced a lower profit warning on 17 Jul and l have on the next day immediately executed a divestment of the entire 97 lots at a significant loss of $4,329!!!   As of Friday's last done price of $0.055 and if l am still holding on to the entire 97 lots then l will be poorer by $670 and it will be a paper loss of $5k but since l have fully divested so l will learn from it.  It is indeed timely that l have updated my investment strategy to exclude investing into companies having significant businesses in China.  There are many local Singapore companies with significant exposure to China market and l reckon they too will suffer in terms of expensive and escalating business costs which outstripped productivity.

IHH
Managed to get 1 lot of IHH Healthcare from the IPO.

Goodpack
For the past nine months both revenue and profit were growing at double digit and have healthy balance sheet and cash flow too.  However, logistic and handling costs stayed stubbornly high which Goodpack not seems able to reign it in, yet.  Goodpack is exposed to Europe but so far, there is no mention of it being a hinder so, finger crossed that it stays the same when it announced its final quarter results in a month's time.  l am hoping for Goodpack to declare a dividend rate of $0.03 when full year results is announced in Aug'12.  Its share seems oversold at the moment and further weakness will be an opportunity for me to accumulate further.

QAF
I have wanted to invest into QAF for quite some time so, l bought 15 lots of it this week.  I am anticipating a similar dividend rate of $0.01 which possibly XD in early Sep month.  This anticipated XD rate is same as paid in 2010 and 2011.  Its share seems have been in oversold territory now.  It is likely to stay in this oversold position next week if the general market condition stays weak.

Portfolio walk since previous posting :-

-$569 Total Returns as of 6 Jul 

-$4,329 Loss on sales Foreland Fabritech

+$3,160 Unrealised positions improved (mainly due to divestment on Foreland)

-$1,738 Total Returns as of 20 Jul

previous posting :- Cash - Closing Status 6 Jul 

Cash - Closing Status 29 Jun

For the Cash portfolio this week, l have received a cheque in the mail on the dividends for Foreland Fabrictech.  I am hoping for Foreland to improve on its share price and giving out higher dividends in the near future.  Otherwise, l will need to find a way to reduce and eventually divest my investment in it.

Based on previous year, the next XD dividend date on ST Engineering is on 8 Aug at the rate of $0.03 and for my 3 lots investment in it then the projected dividends receivable is at $90.  This week l have sold it all away so that l can receive its dividends in advance in the form of a disposal gain of  $147.

Bought into New Toyo 8 lots this week but l have halved my investment in it within this week itself.   The original plan was to divest the entire 8 lots because current price is already meeting my selling price target for an advance dividends.  But unfortunately only managed to sell off 4 lots; which actually lowered the expected gain on the disposal because of inability to apportion out the brokerage  charges on reduced number of shares sold.  For next week, l will continue to divest the remaining 4 lots as l doubt current stock market bull run is sustainable and l am hoping to re-invest into it again at lower prices in the near future.  l am attracted to New Toyo as it has gone through several management and operations makeovers in recent and past months.  l reckon that all these makeovers at New Toyo were and are necessary in order for it constantly improving its operations efficiency and lowering running costs in the long run.  

Portfolio walk since previous posting :-

-$605 Total Returns as of 15 Jun 

+$252 Dividends received from Foreland

+$167 Profits on sales of ST Engineering and New Toyo

-$310 Unrealised positions worsened

-$496 Total Returns as of 29 Jun

 previous posting :- Cash - Closing Status 15 Jun 

Cash - Closing Status 1 Jun

I have added Foreland 12 lots this week.  Foreland is already the biggest loser under my Cash portfolio and l will need to average down so that l can stand a better chance to divest at breakeven, progressively.  I  do not wish to divest it now at a loss. But l will likely continue to average down if its share price weakens further.

This week l have sold TPV 26 lots and SingPost 10 lots under my Cash portfolio.

TPV has big business exposure in Europe and with waves of negative development coming out from this region then it will definitely affect TPV's future revenue growth there.  TPV also has a large investment in China and with the escalating cost of doing business there then costs will definitely increase at much faster pace than any revenue growth there.  Though TPV gives reasonably good annual dividend rate estimated at US$0.0154 but l am pessimistic of its ability to overcome the business threats mentioned earlier in both Europe and China.  Also not really sure whether the newly formed TP Vision  is able to contribute positively to TPV's profit and improving both its cash positions and current ratio (including quick ratio) immediately.  I will continue to monitor TPV for reinvestment if all of the above improve.

SingPost will go XD in early July so l will still have time to reinvest into it as l have already sold off the entire 10 lots of it this week.  It was not able to break above $1.02 mark for a while now and the current market not seems helping at all.  There was also from time to time strong buying interest at $1.015 but as the world stock market closed Friday at disappointing levels so l reckon this could weigh down its share price next week. SingPost has been keeping investors in suspense on its plan to use its huge cash positions but l do hope its management is taking good advantage of current weak world economic to seek good bargains to generate much higher returns for investors.  I am eyeing to reinvest into SingPost when its price weakens again.

For this week, l have received dividends from UMS, Hock Lian Seng and HTL.
  

Portfolio walk since previous posting :-

-$1,215 Total Returns as of 25 May 

+$510 Dividends from HTL, Hock Lian Seng, UMS

+$174 Gain from sales of TPV, SingPost

+$77 Unrealised positions improved

-$454 Total Returns as of 1 Jun

previous posting :- Cash - Closing Status 25 May 

Cash - Closing Status 11 May

M1 -sold 5 lots early this week under Cash portfolio at gain of $65.  Will re-invest into M1 if it goes below $2.45 again.

UMS - Invested another 15 lots.  Recent sales of UMS by its CEO raised concern of whether there are something unpleasant happenings in the company.  And UMS made an announcement on 8 May confirming business as usual for the company so there are no worries.

On the unrealised positions, both Foreland and UMS contributed combined 80% of total paper loss.  To-date, l have 52% of total invested funds in both Foreland and UMS.

The other larger investment of 23% of total invested funds under Cash portfolio is ST Engineering and it is currently still at break-even level despite several rating upgrade by investment analysts.

Portfolio walk since previous posting :-

-$139 Total Returns as of 4 May 

+$65 Gain on sales of M1

-$1,477 Unrealised positions worsened

-$1,552 Total Returns as of 11 May

previous posting :- Cash - Closing Status 4 May 

Cash - Closing Status 30 Mar

 This week, l have sold M1 3 lots and purchased Advanced Holdings 8 lots, Foreland Fabrictech 50 lots, TPV 3 lots.

I have wanted to average down on Advanced Holdings but the additional 8 lots purchased this week was not enough to lower the average buying price; hope to sell it off soon at break even.  Doing the same average down on Foreland and l have probably committed too much funds by doing so at 50 lots!  TPV has corrected more than 25% off from its recent high of $0.42 so, l have invested a small sum in it at 3 lots and if its price worsened next week then l would consider increasing investment in it.

Sold off M1 3 lots at nett gain of $239.  The ex-dividend date on M1 is 11 April and for 3 lots at dividend rate of $0.079, the expected dividend amount is $237.  My exit selling price which resulted in $239 nett gain is in line with the next expected dividend amount of $237 for 3 lots. 

 Portfolio walk since previous posting :-

$1,572 Total Returns as of 23 Mar 

+$239 Gain on sales of M1

-$485 Unrealised positions worsened

$1,326 Total Returns as of 30 Mar

previous posting :- Cash - Closing Status 23 Mar

Foreland - an expensive investment

Though Foreland released a full year revenue +117% and net profit +210% but its dividend rate was only 1.5 RMB cents versus 2.0 RMB cents in 2010.

And in today’s session, its share price ended the day -13.5% or -$0.017 at $0.109.

I bought into Foreland 35 lots last week; and my paper loss is now at $514!

Foreland is actually a good company to invest in so l would probably average down; when its price has stabilized.

>>>

Foreland Fabrictech FY11 Net Profit Soars 210% To RMB140.6m From RMB45.4m

-       Revenue surged 117% year-on-year to RMB756.5 million in FY11, primarily due to improvement in average selling price and increase in sales of higher grade products with better profit margin

-       Average selling price of fabrics rose to RMB13.61 per yard in FY11 from RMB10.57 per yard in FY10 due to improvement in product grades

-       EPS in FY11 surged to 28.65 RMB cents from 10.00 RMB cents in FY10

-       Healthy financial position with cash and cash equivalents of approximately RMB228.1 million and with zero borrowing.

-       Proposing final dividend payout of 1.5 RMB cents per share

-end-

Cash - Closing Status 24 Feb

Bought Foreland 35 lots, Mun Siong 10 lots, Hock Lian Seng 6 lots.
Sold Serial System 19 lots

Portfolio walk since previous posting :-

$1,147 Total Returns as of 17 Feb 

+$86 Gain on sales of Serial System

+$175 Unrealised positions improved

$1,408 Total Returns as of 24 Feb


previous journal :-   Cash - Closing Status 17 Feb, Investment activities - week ending 24 Feb

Investment activities - week ending 24 Feb

There is no movement to both CPF and SRS portfolios in this week so am updating Cash portfolio as below.

Serial (S69)

Sold Serial System 19 lots this week; a day before its results announcement.  Nett nett gain at $86.  If this is kept till ex-dividend date then l will get $63 and from past record, the expected dividend payment date is 14 May.  So,  l have actually collected the dividend in advance and at higher amount.  Since 2001, its Revenue CAGR is 26%.  Measuring from year 2006, its semiconductor revenue CAGR is at 22% versus Asia Pacific semiconductor industry CAGR of 7%.  Its gross profit CAGR is at 15% since year 2005.  Though l would prefer a CARG data of the same starting year but these few CAGR info shows good growth track for Serial System. It must however, not losing focus and monitor very closely its increasing inventory and trade receivable turnover days.  l will reinvest into Serial System again at good entry price point.

The share market (local and global) seems overbought at this moment.  But in both bear and bull market, l reckon there are always (both long and short term) opportunities.  So, l did some purchases this week; as below.

Mun Siong MF6) 
Quick financials :- (based on full year results released on 10 Feb) Revenue +6.5%, lower gross profit margin in 2011 due to more complex scope of project work in 2010, current ratio 5.3 times, healthy operating cash flow before working capital changes. 
No. of shares purchased : 10 lots
Dividend rate : 0.6 cents
Ex-dividend date : Not announced yet.  Expected this to be on 27 April.
Plan A : To sell at exit selling price based on the dividend rate and am hoping this to happen within 60 days - which is the time-frame between now till 27 April.
Plan B : If stock price facing resistance between now and 27 April, then to sell it off at break even or at lower exit selling price target for a smaller nett gain.
Plan C : If stock price goes south and holding time frame already past 27 April then to hold for selling it at break even within six months.  Average down if necessary, in order to sell it off at break even.

Foreland (B0I) 
Quick financials :- (based on nine months results released on 14 Nov) Revenue +175%, gross profit margin improved to 29% from 18% in 2010, current ratio 3.5 times, healthy operating cash flow before working capital changes, Foreland issued higher revenue and profit alert on 14 February.
No. of shares purchased : 35 lots
Dividend rate : Not announced yet. Expected it to be higher than previous year 0.379 cents.  In order to form the exit selling price l have assumed and used the dividend rate of 0.51 cents.
Ex-dividend date : Not announced yet.  Expected this to be on 10 May.
Plan A : To sell at exit selling price based on the assumed dividend rate and am hoping this to happen within 74 days - which is the time-frame between now till 10 May.
Plan B : If stock price facing resistance between now and 10 May, then to sell it off at break even or at lower exit selling price target for a smaller nett gain.
Plan C : If stock price goes south and holding time frame already past 10 May then to hold for selling it at break even within six months.  Average down if necessary, in order to sell it off at break even.

HockLianSeng (J2T) 
Quick financials :- (based on full year results released on 22 Feb) Revenue -29% due to the completion of the Marina Bay station project , gross profit margin improved to 25% from 13% in 2010, current ratio 1.5 times, healthy operating cash flow before working capital changes.
No. of shares purchased : 6 lots
Dividend rate : 2 cents
Ex-dividend date : 7 May
Plan A : To sell at exit selling price based on the dividend rate and am hoping this to happen within 71 days - which is the time-frame between now till 7 May.
Plan B : If stock price facing resistance between now and 7 May, then to sell it off at break even or at lower exit selling price target for a smaller nett gain.
Plan C : If stock price goes south and holding time frame already past 7 May then to hold for selling it at break even within six months.  Average down if necessary, in order to sell it off at break even.


previous journal :-   Cash - Closing Status 17 Feb