Sell @ $3.08
Cheap thrills.. Rushed home after fetching kid from school, just in time to Jump-Q for 2 most recent Buys… 😀
SATS @ $3.04
SATS @ $3.04
SATS @ $3.03
SATS @ $3.05
Buy @ $3.06, $3.04
David's Yield Rotation Strategy involves switching between Yield Stocks which has sequential Dividend Reporting quarters.
In his case, a switch is being done from SIAEC to SATS, where both have the same Dividend Reporting quarters. This could be termed as Value Arbitrage if I interprete Seth Klarmen correctly in his book 'Margin of Safety'. SIAEC & SATS are being designated as a PAIR. Pairing Strategy involves identifying stocks which have similar financial characteristics for eg. Yield, usually in similar industries. Profits can be realised whenever there's a Value Arbitrage (in this case, I call it Yield Arbitrage – a term coined by a fellow forummer in Wallstraits where I'd previously shared my approach, mainly for REITs) ie. SIAEC price went up while SATS price went down, with Yield being the reference point (usually need to use a factor to normalise for the pairs for proper comparison – can also be more than a pair when applied to REITs). 😀
SATS @ $3.18
Sell @ $3.18
Decided to sell off my tiny stake. It was meant to be short term anyway as current Quarter reporting is not their Dividend Payout quarter.
Last night, I mistakenly thought that they'd be announcing their Q3 results. While checking thro' SGX Annc, I decided to take another look at their previous Q2 results and other recent Presentation materials. A couple of points,
- Singapore Cruise Centre – I thought they had already acquired the above and the coming Q3 may have a positive contribution from this. But, this is not the case as it's awaiting Regulatory Approval. Once approved, they'll have to hold an EGM for shareholders' approval.
- This acquisition will be accretive ie. Add to EPS
- Will deplete their Cash
- Probability of Special Div for 2H is lower due to this
- Q2 Financials – Earnings was lower on a y-o-y basis and attributed to rising costs.
- Looks like hi chance Q3 will have same impact
- SIAEC faced the same issue and share prices dropped from $4.91 to $4.76 now (low was ~$4.69)
After the market closed, Q3 results showed earnings dropped y-o-y by -9.5%. On a 9M basis, the drop was not very significant, 12.3ct, fm 12.5ct. Still, I'll hands off SATS till it's closer to Q4 results, unless prices are a lot more attractive…
SATS @ $3.13
SATS @ $3.15
Buy @ $3.15
A new addition to my current portfolio. No prior intention to buy till I saw that it was matching at $3.13 during 5pm close. Itchy fingers sprung into action and put in @ $3.15 to Jump-Q. It was matched at $3.15 and I must have been amongst the first in Q for it to get done.
Similar to SingTel, it's actually 3mths early for me to be buying as their FY end is in Mar-14. So, a short term play for the -4ct drop today vs STI +19.98. With luck, perhaps some Window Dressing in the nextfew days for me to unload this Blue Chip… 😀
SATS @ $3.14
SATS @ $3.10
Buy @ $3.10
New stock to my portfolio. Itchy fingers, used HP to buy at 5pm matching… even though I was out whole day. 😀
Just went xd today (5ct) and dropped -10ct. The Q2 results was released on 5-Oct and prices has dropped from $3.42 then. Results looked ok (flat) to me but it'd appear that market must have been expecting better… PE = 18.67 (vs 20+ then) ; Yield = 4.84% (not that fantastic) ; Cash = $396Mil vs Debts = $122Mil. I'm monitoring their Cash position closely to see if the likelihood of a big Special Dividend for Full Year is possible…
There's also possible support from their Shares Buy Back program…