Category: M1

Buy @ $3.18

Not as badly hit as Starhub. Decided to buy to average down my holdings as I'm left with the $3.4x to $3.5x ones… 😀

Sell @ $3.34

Missed that a couple of days back due to greed… But, after selling, hit a high of $3.40 and closed at $3.40…. On a day when STI dropped below 3300 (3295.13, -29.2), better safe than sorry as I have lots of M1 and not so much free cash…. 😀

Sell @ $3.23

Contra off 2 batches, one of which is loss making, but have a tiny net profit… 😀

Buy @ $3.19

A bottomless pit… PE just <17, Yield 4.74% (80% Payout)… 😀

Buy @ $3.22

Lower and lower… have to wait for for bigger drops before adding to average down… 😀

Buy @ $3.33, $3.32, $3.31

Wah… the slide continues… down to a low of $3.29 today… still a long way to UBS target $2.80…. 😀

Buy @ $3.47, $3.43, $3.42, $3.39

The sell-down looks scary… Looks set to be a longer term hold… 😀

Buy @ $3.51

Despite the weak FCF and slim chance of 100% payout… 😀

Buy @ $3.52

Buy back… Wasn't my main target during 5pm matching and happened to see it matchung at this price as all my other targets were not hitting my target price… Itch fingers went to jump for it… I have higher priced ones, take it as an average down.. worst case, keep for 1H Div for Jun Q… 😀

Sell @ $3.55

Contra off 2 outstanding batches.

Did an FCF study over the weekends and was very surprised that FCF < Dividends for last 2 years! The first thought is M1 Div Payout is not sustainable. However, after studying their Cash Flow for the past 6 years, I realised that M1 is declaring Div based on furture FCF. As CAPEX is a known Figure & Timing to their mgmt, it is not impossible to do that. In several instances where FCF + Cash is insufficient to pay the Dividends (End-Apr & Mid-Aug), it was observed that Debts (CL) had increased for that Quarter ie Short Term Debts must have been utilised to cover for any shortfall.

As such, my conclusion is that whether M1 will continue to do a 100% Payout (their Policy is min 80%), will be more dependent on FY16 CAPEX requirements. Looking at Q1 low Cash Level and the 11.8ct Div paid out on 30-Apr (Q2), I have lowered my enthuaism for a 100% payout. Perhaps things may be clearer in Q3… 😀