Went back to the Greenlands recently...
And it truly made me appreciate how lucky I am in the real world.
It was like being brought back to 8 years ago on the Island of Light... Eww... still give me nightmares thinking about it .
This kind of life is really, really not for me.
I don't get why certain people have to be so hostile. We are only transported back temporarily, for a couple of days. We have no choice, we have no say, we have no rights. All we hope is to complete whatever nonsense needed, then get the **** out of there.
Is there really a need to be critical? To be sarcastic? Or even make enemies?
I guess some people thrive in this kind of environment... but I don't. I really don't like this place. Nevertheless, I don't try to run from it. I do what I can, to the best of my abilities.
I'm not the biggest in size, or toughest, or most knowledgeable, but I do what I can. I don't give people trouble.
Anyway, it's back to reality.
Monday, August 25, 2014
Saturday, August 09, 2014
China Merchant Pacific 2014Q2 Results
Hmm... been 4 months since I started on my investing journey, and I've learnt immensely in this period.
Before, I don't even know that they do things like halt trading before announcing important information. I don't know what's ex-div, cum-div, rights issue, bonus issue, stock-split, etc...
Now, I really feel that I'm a small owner of the company. I subscribed their announcements on proposed acquisitions, contracts and awards, change in ownership and of course their quarterly earning reports. It's quite fun actually.
Anyway....
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CMP just announced their 1st half results.
1. They intend to purchase a new expressway - the 48km "Jiurui Expressway" (江西省九江至瑞昌 高速公路) located in Jiangxi. This will increase their "road assets" from 367km to 415km.
2. The Jiurui expressway is newly opened (in 2011) with promising growth in traffic after the surrounding construction completes from 2014 to 2017. It will provide toll revenue for the next 26 years! (Current charges for using the expressway is 0.45RMB/km.)
3. Addition good news: The company will issue shares at $0.985 (which is a premium to its existing price) to fund the purchase.
4. For Q2 results, toll-road net profit increased by 8%. They've announced an interim dividend of 3.5 cents, which is 27% higher than last year! (That's $35 per lot!)
Before, I don't even know that they do things like halt trading before announcing important information. I don't know what's ex-div, cum-div, rights issue, bonus issue, stock-split, etc...
Now, I really feel that I'm a small owner of the company. I subscribed their announcements on proposed acquisitions, contracts and awards, change in ownership and of course their quarterly earning reports. It's quite fun actually.
Anyway....
-----------------------------------------------------------------------------------------------------
CMP just announced their 1st half results.
1. They intend to purchase a new expressway - the 48km "Jiurui Expressway" (江西省九江至瑞昌 高速公路) located in Jiangxi. This will increase their "road assets" from 367km to 415km.
2. The Jiurui expressway is newly opened (in 2011) with promising growth in traffic after the surrounding construction completes from 2014 to 2017. It will provide toll revenue for the next 26 years! (Current charges for using the expressway is 0.45RMB/km.)
3. Addition good news: The company will issue shares at $0.985 (which is a premium to its existing price) to fund the purchase.
4. For Q2 results, toll-road net profit increased by 8%. They've announced an interim dividend of 3.5 cents, which is 27% higher than last year! (That's $35 per lot!)
Tuesday, July 22, 2014
Frasers Centrepoint Trust 2014Q3 Results
WOOO!
3 Cents Dividend!!! That's $30 per lot!
Geez... should have brought more last time!
I guess I was too cautious because it was my first stock...
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Anyway... very good results across the board.
They've officially completed the acquisition of Changi City Point (CCP), and now has total of 7 shopping malls!
The only negative thing of course is that their debt went from 27.9% to 30.2% (due to purchase of CCP). However, 30.2% is still considered on the low end when compared against its peers.
3 Cents Dividend!!! That's $30 per lot!
Geez... should have brought more last time!
I guess I was too cautious because it was my first stock...
---------------------------------------------------------------------
Anyway... very good results across the board.
They've officially completed the acquisition of Changi City Point (CCP), and now has total of 7 shopping malls!
The only negative thing of course is that their debt went from 27.9% to 30.2% (due to purchase of CCP). However, 30.2% is still considered on the low end when compared against its peers.
Wednesday, July 16, 2014
China Merchant Pacific
Brought my first "overseas" stock today - China Merchant Pacific (CMP)!
I never intended to buy overseas stock actually, but got really attracted in this company after reading about it on a fellow investor/blogger site.
This is a toll road company owning (co-owning) 4 major expressways/roads in China. What does it do? To simplify, this is basically a 'ERP' collection company. All traffic using these expressways will have to pay charges.
What are its "statistics" like? The 4 roads totaled approximately 367km with a traffic volume of about 50 million vehicles per year. That translates to about $2.2billion RMB revenue a year.
It owns 51%, 100%, 40% and 60% of each expressway respectively, connecting fast-growing regions such as Zhejiang (Hangzhou, Wenzhou, Taizhou), Guangxi (Guilin, Liuzhou, Nanning), Guizhou (New airport to Guiyang capital). These areas are all under-going economic/tourism developments, with rising traffic demands.
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The major factors enticing me to purchase these stock are:
1) STRONG Backing
The parent of this company is China Merchant Group, which is one of the largest state-owned enterprise directly under the China State Council (国务院).
In local text, it's 'ahgong' company. You think Singapore ERP gantries will collapse meh?
2) Strong history of growth and dividends.
Consistently giving out dividends since 1992 without a single rights issue. The dividends have also been growing consistently, just like how ERP gets more and more expensive every year.
Future toll rates "adjustments"? Yes! Yes! Yes!
3) Strong balance sheet
The net gearing (aka debt) of the company is only 28%, which is relatively low. This allows room for more acquisition in the future. (Buy more roads, build more ERPs!)
In addition, it enjoys extremely low borrowing costs given its status as "gahment-link" company. (2.5% compare to 4 to 6% by its competitors)
4) Relatively cheap valuation
The price to book ratio of the company is 0.8 (selling at 20% discount to its net asset value), with a p/e ratio of 7.4 (among the lower ones in the industry)
That sounds pretty attractive to me. Finally, I guess it helps diversify my investments a bit to the overseas market.
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Of course, there are always potential risks, such as:
1. Slow down in China economy -> less cars -> less revenue.
2. Potential competing roads opening that divert away traffic from the expressways.
3. New government policy curbing toll rates growth... (Would not be worry if it's in Singapore......)
4. Currency - Overseas stock means exchange risk if RMB falls against SGD.
-----------------------------------------------------------------------------------------------
Regardless, after reading through research reports and several opinions, I feel that the fundamentals of the company is sound with a strong economic moat.
It's 7.5% dividend is the main temptation (I'm expecting to receive $700 in dividends every year!). It's only giving out 60% of its profit and it's already 7.5% yield. Definitely room for further growth here.
I never intended to buy overseas stock actually, but got really attracted in this company after reading about it on a fellow investor/blogger site.
This is a toll road company owning (co-owning) 4 major expressways/roads in China. What does it do? To simplify, this is basically a 'ERP' collection company. All traffic using these expressways will have to pay charges.
What are its "statistics" like? The 4 roads totaled approximately 367km with a traffic volume of about 50 million vehicles per year. That translates to about $2.2billion RMB revenue a year.
It owns 51%, 100%, 40% and 60% of each expressway respectively, connecting fast-growing regions such as Zhejiang (Hangzhou, Wenzhou, Taizhou), Guangxi (Guilin, Liuzhou, Nanning), Guizhou (New airport to Guiyang capital). These areas are all under-going economic/tourism developments, with rising traffic demands.
-------------------------------------------------------------------------------------------------
The major factors enticing me to purchase these stock are:
1) STRONG Backing
The parent of this company is China Merchant Group, which is one of the largest state-owned enterprise directly under the China State Council (国务院).
In local text, it's 'ahgong' company. You think Singapore ERP gantries will collapse meh?
2) Strong history of growth and dividends.
Consistently giving out dividends since 1992 without a single rights issue. The dividends have also been growing consistently, just like how ERP gets more and more expensive every year.
Future toll rates "adjustments"? Yes! Yes! Yes!
3) Strong balance sheet
The net gearing (aka debt) of the company is only 28%, which is relatively low. This allows room for more acquisition in the future. (Buy more roads, build more ERPs!)
In addition, it enjoys extremely low borrowing costs given its status as "gahment-link" company. (2.5% compare to 4 to 6% by its competitors)
4) Relatively cheap valuation
The price to book ratio of the company is 0.8 (selling at 20% discount to its net asset value), with a p/e ratio of 7.4 (among the lower ones in the industry)
That sounds pretty attractive to me. Finally, I guess it helps diversify my investments a bit to the overseas market.
-------------------------------------------------------------------------------------------------
Of course, there are always potential risks, such as:
1. Slow down in China economy -> less cars -> less revenue.
2. Potential competing roads opening that divert away traffic from the expressways.
3. New government policy curbing toll rates growth... (Would not be worry if it's in Singapore......)
4. Currency - Overseas stock means exchange risk if RMB falls against SGD.
-----------------------------------------------------------------------------------------------
Regardless, after reading through research reports and several opinions, I feel that the fundamentals of the company is sound with a strong economic moat.
It's 7.5% dividend is the main temptation (I'm expecting to receive $700 in dividends every year!). It's only giving out 60% of its profit and it's already 7.5% yield. Definitely room for further growth here.
Tuesday, July 01, 2014
Meditation
Sometimes, there's no point in wasting too much energy trying to meditate the relations between 2 person who already has a conflict with each other.
At best, you're wasting your time and effort. At worst, you may even damage your relations.
Ha.
That's how it is.
Sometimes it's A fault, sometimes it's B fault.
It's all a matter of perspective and position.
At best, you're wasting your time and effort. At worst, you may even damage your relations.
Ha.
That's how it is.
Sometimes it's A fault, sometimes it's B fault.
It's all a matter of perspective and position.
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