There are two main school of thoughts when buying a stock. You either buy it for its dividend or for its growth, hoping it will unlock its value one day and perhaps become a multi-bagger. In my holdings, ComfortDelgro is currently one such stock. M1 used to be one, however prices have since fallen and it is no longer a multi-bagger stock in my portfolio.
You may ask why I am not selling ComforDelgro, since it has unlock its value? My reason is simple. Currently, I have nothing better to buy. Furthermore, I will draw down from my war chest first. The dividend yield for ComfortDelgro is not fantastic but while I hold on to it, I collect dividends from it.
After accumulating so many stocks over the years, I have almost forgot my basis for buying the particular stock the last time. As such, I decided to list down all my stocks and recap why I bought the stock in the first place. As you can see from the table below, stocks that I bought for growth are Comfort Delgro, The Hour Glass and Boustead. The rest of the stocks I bought are mainly for its consistent dividends. Most of the dividend stocks in my portfolio are in fact REITS.
| Stock Name | Growth or Dividend |
| ST Engineering | Dividend |
| ParkwayLife Reit | Dividend |
| ComfortDelGro | Growth |
| NeraTel | Dividend |
| M1 | Dividend |
| Keppel Reit | Dividend |
| The Hour Glass | Growth |
| SoilbuildBizReit | Dividend |
| StarHub | Dividend |
| OUE Hospitality Trust | Dividend |
| Mapletree Commercial Trust | Dividend |
| Sheng Siong | Dividend |
| AusNetServices | Dividend |
| Boustead | Growth |
| CapitaMall Trust | Dividend |
| Far East Hospitality Trust | Dividend |
| Frasers Commercial Trust | Dividend |
| Suntec Reit | Dividend |
| Cambridge Industrial Trust | Dividend |
| Lippo Malls Trust | Dividend |
What’s your thoughts on the recent dividend cut by Neratel ?
Hi SY,
A cut in dividends does not mean the company is performing poorly. I notice NeraTel has been aggressively expanding overseas. The company can be conserving cash for expansion purposes.
A fellow financial blogger B has a better insight. You can read more here (Recent Action – Neratel).