Wednesday, 17 December 2014

2nd Day Lucky - Sembcorp Ind

I have always wanted to buy Keppel Corp and Sembcorp Ind.  They are some of the premium brands/stocks in Singapore.  However, the prices are high and their yields are not that attractive. There are also many associated risks with the stocks, such as oil prices, stiff competition, etc.

But with the current sell down, they are suddenly looking very attractive and within reach.

I think Sembcorp Ind is a safer option.  It has a good utilities segment that provides regular and consistent incomes for the company.

And as oil is a depleting resource on the energy thirsty Earth, its price cannot be depressed for a very long time.

I initiated "buy" for Sembcorp Ind at $4.06 yesterday but was not successful.  I tried again for 1 lot today at same price and the order was filled in the morning.  Afternoon, the price kept moving up and ended the day at $4.16. 

Whether lucky or not, I will just keep Sembcorp Ind for dividends.

 And after collecting Sembcorp Ind into my portfolio, I find that now I have more than 50% of my holdings starting with the letter "S"...

Posted by at
Labels:

13 comments:

  1. jfree17 December 2014 at 07:37

    Good buy! i also want one! will buy next week!!!

    ReplyDelete
  2. Passive Income Farmer17 December 2014 at 15:50

    Hi jfree,

    Yes, with your cashback reinforcement, just nice for Sembcorp.

    Cheers,
    Farmer.

    ReplyDelete
  3. ^_^17 December 2014 at 16:51

    Good buy on SCI. I when all in yesterday morning on SCI as i strongly believe its under valued. I think the utilities business is worth 15 times earnings which is about $3 per share, at 4.0x we are getting the marine business for only $1+! Overall SCI is so cheap at less than 10 times earnings with a 4-5% potential dividend yield. 15-20 cent divident payout but maybe a low chance of seeing 25 cents fy 14 payout, cheers

    ReplyDelete
    Replies
    1. Passive Income Farmer17 December 2014 at 19:06

      Hi Felix,

      Yesterday morning seems to be bargain buy time for SCI. Unfortunately not even bullets for me. You must have a substantial qty of SCI now?

      Cheers,
      Farmer.

      Delete
    2. Passive Income Farmer17 December 2014 at 19:19

      Not enough bullets...

      Delete
    3. ^_^25 December 2014 at 19:35

      yes SCI is one of my core holdings along side challenger, starhub and st engineering

      Delete
  4. B17 December 2014 at 16:51

    Hi PIF

    Attractive buy there with SCI at the current price. Come next jan it may be easier to average down on the stocks.

    ReplyDelete
    Replies
    1. Passive Income Farmer17 December 2014 at 19:08

      Hi B,

      Yes, perhaps after end of year window dressing, we can pick out some attractive counters in Jan.

      Cheers,
      Farmer.

      Delete
  5. Jimmy L17 December 2014 at 17:55

    i love to add sembcorp and keppel corp into my portfolio. but still waiting. maybe i missed the boat already :(

    ReplyDelete
    Replies
    1. Passive Income Farmer17 December 2014 at 19:10

      Hi Jimmy,

      Never say never. The boat may come back.

      Cheers,
      Farmer.

      Delete
  6. Investopenly17 December 2014 at 19:19

    Good for you, many of my invest savvy friends are also accumulating these 2 counters.

    ReplyDelete
    Replies
    1. Passive Income Farmer18 December 2014 at 01:42

      Hi Richard,

      Thanks for your visit. How about you?

      Cheers,
      Farmer.

      Delete
    2. Investopenly18 December 2014 at 01:52

      Still considering, not vested yet ;-)

      Delete

Subscribe to: Post Comments (Atom)