Profitable Q2 of $43,694

 

Q2 should be my most profitable quarter for 2023, with a flurry of dividends from blue chip stocks and bonds. Tabulating the month of June with $10,138 this works out to the whole quarter of Q2 into a total of $43,694! I am thankful for this sum of money, as it helps pay the family bills, food and some wants etc 😄

Embarking on this new journey in life, has been filled with lots of ups and downs. The ups are of course with much more time at hand, it is nice to spend with family and friends, plus learning some new things. The downs of course would be looking back at my previous job and all the $$$ and perks it provides.

Well it is certainly time to move on and not dwell too much on my "glorious" past. There is still so much to learn and contribute out there, if I can overcome my lazy inertias ... hahaha

With Q2 behind and Q3 ahead of me, I will need to focus on what I really want in my life. Plus life is always full of surprises and disappointments. It is always easy to look back on hindsight and regret on decisions, but it is always better to bravely move forward, counting my blessings and cherishing what I have and making the best of everything. Majullah!

Related:

Bounty May Dividend of $26,191

Uneventful Apr $8,437 *yawn*

7-Figures Singapore Portfolio

On Target for 6-Figures 2023 Income

Is UOB at $27.86 a good BUY?

 

Singaporeans would be very familiar with UOB, though it is the smallest of the 3 local banks in terms of market capitalisation. Controlled by the Wee family over the past few decades, this bank has grown over the years to be a strong and reputable regional bank

The long term share price has also increased steadily from $10 during the Global Financial Crisis of 2009, peaking at $33 in 2022. Long term moving averages are sloping upwards, signalling the long term trend and growth should continue in the more years to come

In the short term though, we see the yellow MA10 line turning downwards, as price weaknesses continue to plague UOB and similarly with other two local banks of DBS and OCBC. We see the price of UOB trying to find support in the region of around $28, with another stronger and well tested support around $26

With UOB dividend of $0.75 in April 2023, and probably another dividend of $0.75 in August, the yield would translate into (0.75+0.75)/27.86 = 5.4% not too shabby for a well established bank. With bigger Reits (MIT/MLT/Areit) also offering somewhat 6% yield at around 90% payout, I would well prefer UOB which is only at 50% dividend payout. Not forgetting UOB is a much larger company and solid economic moat vs Reits

Would u also agree with my assessment on UOB? Let me know in the comments section below. Thanks  😎

Related:

Is DBS at $32.7 a good BUY?

AA Reit Rights at $1.189

 

AIMS APAC (AA Reit) has launched a Preferential Offering/Rights of 35-for-1000 at $1.189 to existing shareholders. Being a small long-time existing shareholder of AA Reit, I am quite surprised that the rights is offered at such a low price. As expected, market sold down unfavourable on this preferential offering news, to even $1.16 below the rights price (close to 1 year lows of $1.13)

With some heavy selling seen even below $1.18, this would be an even cheaper price than the preferential offering price+comission fees if bought over the market. At one point, I was even considering buying from the open market and forfeiting my rights instead. Unfortunately or fortunately 😎, prices recover on Friday to close at $1.22

 

I had been considering to purchase more AA reit for some time in AA reit at $1.3 a good Buy? as I generally consider this as a reasonably small but well managed Reit (vs MIT/MLT/Areit) with prices ranging between $1.2-$1.5 for the past few years, for a reasonable yield of between 6-8%

I would be subscribing to this preferential offering and probably oversubscribing more to round up to 1k shares for long term investments. Hopefully this decision would turn profitable in time to come, both in terms of dividends and capital gains

Would u be subscribing to this preferential offering or what are some of your thoughts on AA reit? Pls feel free to share in the comments below  😊

Wow Sembcorp Ind at $5.50!

 

Finally Sembcorp Industries (SCI) is at its 10 year highs of $5.50, an incredible strong run over the past 2-3 years from a government linked company. It's almost unimaginable that such a blue chip stock, would have a price increase that is only typically seen in a much smaller size growth enterprise

See also:

Is SCI at $3.71 a good Sell?

With price levels above $5, various research houses have been busy evaluating again what should be the real target price of SCI moving forward. I have been steadily taking profit at my long time investment and unfortunately only have a small position left, as I did not purchase much during the distressed price in 2020

While it is true that SCI have divested the cyclical business of Sembcorp Marine (SMM) for the better, such a phenomenal price rise still seems too good to be true. With current hot news on climate change and renewables, SCI does seem to be in a good business to concentrate for the future.

Hmm... should I continue to sell into new price highs, or just trail the yellow moving average MA10, or just wait further for psychological level of $6!  😂  Let me know in your comments below

MIT 3rd Largest Tenant Cyxtera gone Bankrupt!

As mentioned in my previous post on Headwinds for Mapletree Industrial Trust (MIT):

Headwinds for MIT (Hint: Cyxtera Technologies)

This news has now been announced with MIT's 3rd Largest Tenant Cyxtera Technologies entering the Chapter 11 Bankrupcy process

https://www.straitstimes.com/business/mapletree-industrial-trust-s-3rd-largest-tenant-enters-us-court-supervised-chapter-11-bankruptcy-process

Cyxtera has contributed 3.2% of gross rental income for MIT as at 31 March 2023. While blue chip MIT boasts of a well-diversified tenant base, this negative news would inadvertently be a drag to its share price

With prices closing in to short-term Oct22 lows of $2.13 and long-term Covid Mar20 lows of $2.10, hopefully these price supports would hold the sellers at bay.

Bearish trend continues with the purple weekly MA50 sloping downwards and even acting as a resistance point in Apr23.

Other affected reits included Digital Core and Keppel DC, all putting up brave fronts to soothe shareholder sentiments.

It only goes to show that with new seemingly lucrative Data Centre businesses, risks do abound with every new investments that are outside of traditional property strengths of Reits.

Also with rising and persistant high interest rates, MIT and Reits being highly leveraged companies, will continue to face strong headwinds in the months ahead.

What are some of your thoughts of MIT moving forward? Let me know in the comments section below

Disclosure: I am currently vested in MIT  😅