After monitoring Tai Sin Electric for almost a month, I decide to make a buy transaction. I did not add it to my stock portfolio but instead I added it to my spouse’s stock portfolio. She has now 5 stocks in her stock portfolio!
If you read my post on Looking at Tai Sin Electric Limited Market Depth, there is good support at S$0.425. Buying and selling is very similar to supply and demand. There is quite a high volume asking for S$0.46 and a lot of bid volume at S$0.42 and S$0.425.
Based on My Personal Analysis of Tai Sin Electric Limited, this will give a dividend yield return of more than 5% for my spouse.
The risk here is the slowing down of construction and infrastructure projects in Singapore. Outweighing the growth potential versus the investment risks, that is how I came to the decision to add this stock to my spouse’s stock portfolio. The management has proven to be able to ride through difficult times and I shall monitor if they are able to ride through the current storm and continue to growth Tai Sin Electric Limited and return more value to its shareholders.
Hi My Sweet Retirement
Are they not cyclical in its industry? I have this in my watchlist when it was at around 30 cents when the sector wasnt doing quite well. Whats your exit strategy in this one just curious?
Hi B,
Yes, Tai Sin Electric like I mentioned, they are cyclical in its industry since they are very much dependent on the construction industry. Bought this counter solely based on the 5% dividend yield and possible further growth. As long it is able to sustain its 5% yield, I will keep it as part of the stock portfolio.
Will exit this stock if
1. Stock fundamentals are disturbed, then I may do another personal analysis and decide whether to divest or average down. E.g temporary bad news or permanent damage to the company
2. Price suddenly shots up to be a multi-bagger then I may deem this stock to be too expensive to keep as what goes up will come down.
Above is just my personal opinion though. Will be great if you can share your common exit strategies.