Purchased M1 Shares

Hi Everyone,

Finally, I have a telco shares in my portfolio which makes my defensive shares formation complete. So to summarize, my defensive stocks are listed as below:

1) ST Engineering - 1000 units
2) M1 - 900 units
3) OCBC - 300 units
4) SCI (Depends) - 500 units

The reason why SCI had the label (Depends) is because some people might not view this shares as a defensive stocks but for me because of its utilities business, thus I personally label it as defensive stocks. (Personal view)

Okay, so the reason why I purchase M1 shares is because it had dropped during the XD stage. I have been eyeing on Singtel or M1 or Starhub for a long time and I decided to go with M1 mainly on the business and the company portfolio as well as my girlfriend and I are the customers of M1.

With the recent news on SMRT collaborating with OMG in becoming the 4th telco, it certainly affects the investor point of view. However, I believe it will take sometime in order for the 4th telco to become a threat to the 3 main telco. The reason why I said so is because they are the new entrant to the market and the 3 main telco already had strong customer based. Of course, customers can choose to jump ship whenever they want however, most of the customers are either tied down with contract or loyal customer to the telco that they have sign with.

In addition, customers might want SMRT to focus on their core business instead of being a 4th telco and the reason for SMRT and OMG to become the 4th telco might be a strategy to drive away the potential threat coming from myrepublic. (Just my personal view)

However, if SMRT and OMG telco really come up with a great subscription plan (concession + data plan), it might really be a threat if they can prove that their services wont be like their own train services (up time of the mobile services).

After due consideration and the recent price drop, I have decided to go with M1 to join my portfolio in the telco business. 

What are your views?

Sheng Siong and Valuetronics

Hi Everyone!

Today I have been eyeing on these two counters for the entire day for Valuetronics and the whole afternoon for Sheng Siong, but in the end, I didnt manage to get either of those which is quite sad for me. 

The stock price I am going into these two are: Sheng Siong: 70 cents and Valuetronics 36 cents. 

The price keep hanging right above my target price which makes me mad and when the stock market close, both of the counters drop down to my target price :(

So why do I look into these two counters/shares.

For Sheng Siong

For Sheng Siong, it is because of it's potential growth in e-commerce area and the possible growth in China which enables Sheng Siong to gain more profit in the future. However, these are just opportunity that Sheng Siong might go into, because I read from the article which I found on Google and I find this progress path is quite interesting for Sheng Siong. If Sheng Siong is able to pull off these areas, the potential of it's growth will be very big. Which also means that it will be good for me as an early investors to gain more dividend and increase in my capital price in the future :)

For Valuetronics

For Valuetronics, I come across this counter/share from the morning review report via POEMS and they suggest that this counter is a BUY call. When I come across this counter with the share price of 36.5 cents, I took a look into the company profile and some reviews that I can find on the internet. What I found are all positive reviews like with the 88% increase in profit in 2014, solid cash flow and possible growth in dividend. On top of that, the possible growth in capital price up to 60 cents++ per share! This really interest me to invest is huge lot but overall is a small amount as compared to purchasing counters like First REIT. For 500 units of First REITs, I can purchase like around a 1500 units of Valuetronics. Certainly, we cannot measure the value like this because First REITs afterall is a much more stable counter than Valuetronics and First REITs have a better growth (I believe) because of it's business nature and the sector that it is in (Healthcare).

So these are my two counters that I will be eyeing for tomorrow and if still didnt get it, then the day after.

Last note, M1 please drop your price to $3.68!!!