Thursday 7 September 2017

Portfolio Update- Divestments and Seeking New Gems in a "Fairly Valued" Market

It has been a while since the last update of my stock portfolio. Th main reason is because I have made a few transactions over the months.

Penguin Holdings – Sold all remaining 25,000 shares. This brought to the end of my infatuation with Penguin believing it was then riding on the oil boom in 2014 and being a low leverage company
Ezion - Sold 24,000 shares at 0.26 however my CPF portion was not sold and now I have to await the debt talks before deciding. The irony is that I had sold off my Ezion shares via CPF at 0.26 and bought it back at 0.22 as I sensed a trading opportunity (should have sold off and not bought back)
Silverlake Axis- Sold off at 0.620 before ex-dividends. This is because I believe the company is now fully valued and cash flow ability seems not to be as strong as before.
BBR holdings- Did a short term buy because BBR has been continuously doing share buybacks. Bought at 0.22, sold at 0.23
Ellipsiz- Sold it off today at 0.75

Over the past months, I had added on to FSL because of my belief that the fleet’s liquidation value, nett of debt, is above its market price of 7 cents plus. This were at various price points ranging from 7.5 cents to 8.2 cents. I do think there is value in the trust and I await the verdict to see if they have successfully rolled over their debts or otherwise.

Still Seeking Gems
With the various divestment, my cash holding is now at a 37% level. Paring down of my FSL stake is expected especially if share prices move above 10 cents. This is because the concentration risk is getting too high; becoming a binary bet.
I have tried looking for value in other companies. However, none of their free cash flow yield relative to current share price are at attractive levels. The two in my monitoring now are CSE Global and Sarine Tech. Other than that, I am currently finding little value in Singapore’s market.

No comments:

Post a Comment