Comfort Delgro was one of my larger holdings until the price crash caused it to fall into the medium category. Thanks to the recent price rally, it has gone back to the large category and I will be updating my portfolio page soon.
With higher interest rates, companies that are 'nett cash' like CDG are looking more attractive than companies with massive debt servicing costs. On the other hand, Singtel also has a strong balance sheet but isn't doing too well because its path to growth is not as clear. It is 'easy' for CDG to buy bus and taxi companies/bid for routes because a small bus company doesn't cost that much. But for Telcos, you have to go big or go home when it comes to acquisitions.
While I had made one lucky purchase at the absolute bottom at $1.03, I started buying from $1.22 downwards so I 'averaged down'. If you go to the internet, you will see people saying that they will buy after CDG drops below $1. So I guess in the end they didn't buy since it sharply rebounded.
I stuck with my usual philosophy. I analysed and valued the stock at $1.30, and let it drop a bit for 'margin of safety' then started averaging down from $1.22 to $1.03. I know I will never buy at the absolute bottom so averaging down has worked for me, sort of.
Now I am waiting for Capitaland Ascott and Singtel to recover 😎
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