T.U.B Investing

I will keep this short. I sold off all my Bukit Sembawang Estates (BSE) shares AGAIN . Anyone who has followed me knows that I have previously invested in BSE and earned a profit. I also refer to it as my " ex ." I recently re-entered BSE and wrote two articles about it ( Part 1 , Part 2 ) . My main thesis was that the BSE will pay a 33-cent dividend. That, however, did not occur. Only a 16-cent dividend was declared. It just seemed like an "ex" that you got back together with but then cheated on you again! As a result, because my theory no longer holds, I chose to sell all of my shares for a very small profit. Aside from the fact that the thesis is no longer valid, I also wanted to hold more cash at this time because the US market is in a slump. After all, cash is still king. Nevertheless, BSE financials continue to look fantastic, and their recent launch has been selling like hotcakes. Image Taken from Business Times. Potential buyers at the preview of Bukit Semb...

This is a continuation of the previous article . This will be my most important reason for reinvesting in Bukit Sembawang Estates Limited. 5. Hidden Value in Land Bank As stated in this previous written article , there are hidden value within Bukit Sembawang.  Based on the information gathered below (2009 annual report and Wikipedia) , Bukit Sembawang used to own plantations. Group Structure Breakdown as of FY2009 Annual Report Screenshot of Lim Koon Teck 's Wikipedia Page As of today, Bukit Sembawang is still holding onto these lands in Singapore and in the process of converting these agriculture lands to residential lands. These lands are hidden assets because they are not accounted for in the balance sheet.  However, do noted that these lands are reported in the 2021 annual report as per “Land in Seletar Hills Area” below: Properties Breakdown as per FY2021 Annual Report Since I am unable to fully appreciate the term of development properties in the balance sheet, I will a...

Today, I will be writing about a Singapore Listed Developer that I had re-invest in – Bought in 2015, sold in 2018, bought again recently! The company is Bukit Sembawang Estates Limited (Ticker: B61) and is listed on SGX. Logo taken from The Official Atelier Website I have also written quite a few articles on this company since 2015 (You can click on the label at the bottom of the page to find all its related articles) .  Here are the highlights based on its most recent FY2022 half yearly report and FY2021 annual report: 1. Share Price is Close to NCAV  NCAV is the net current asset value which is a metric that is made famous by Benjamin Graham - the grandfather of value investing.  NCAV Formula as per Wikipedia The Current Share Price of S$4.960 is only about 4% higher than the NCAV of S$4.760.  Furthermore, the current asset consists of over 44% of cash - which meant that the company's current asset is very liquid.  If a sudden need for cash arises - lik...

If you have read about the previous post about my Ex, I am updating here that she just announced her full year results! And I was right! The dividend has decrease from 33 cents to 18 cents! If the retailer investor is looking for 5% dividend yield, then he will be expecting the share price to fall to $3.60! But I have my doubt that the share price will drop till so much! If you read about the news article , there are a lot of hidden messages. Are you able to catch them? For existing retailer investor, I advise you to ignore the news report and spent some time to look at their latest financials results. Hopefully you will be able to pick out their "important" numbers. There are 2 "firsts" over the last 3 years in the most ignored portion of the financial results! If you picked them out, that will be great! Next, for existing retailer investor, it is also important to remember "why did you invest in Bukit Sembawang Estates Ltd"? Once you rem...

I will be talking about my Ex in this post. I used to love her a lot and have written a few articles on her. She is none other than... Bukit Sembawang Estates Limited (aka BSE) . Yeah... I have sold all my holdings in this counter prior to restarting my portfolio on 26 Dec 2017. But it has been in my watchlist since I want to continue to monitor her movement. Taken from getherbackguide.com I realise that BSE share price has been fluctuating and I saw some analyst talk about it recently. Since my view defer from the analyst, I will be revealing why I dump my ex. In fact I stated it in IN previously. Here is the screenshot: Screenshot of IN of My conversation with Zumou80 (From bottom to top) In Short Basically BSE cash is at its lowest now - $226 million as per its latest third quarter report. If it continues to give out $85 million worth of dividend, it will not have enough cash to pay for its recent Enbloc purchases too. I suspect it will e...

As a blogger, I like to write about my analysis to keep track of what I thought of the counter previously and if the situation have change now. Therefore, I decided to do a general review on all the counters that I wrote in 2017 for this post. I believe I will be able to pick up some factors that I could improve on next year so that I can eventually make more gains! *Do note that I will only be doing a review on counters I wrote a full post on. Those that had more than 1 counters in the post will not be tagged in this review. *Click on the date to refer back to the old posts. Counter 1: Bukit Sembawang Estates Ltd ( 23 Jan 2017 ) This first article in 2017 is a counter I have been vested since 2016. Bukit Sembawang Estates Ltd is a major property giant with a huge land bank. While all the property firms are busy participating in the current en-bloc frenzy, the company do not need to do anything due to its huge land bank. Decisions In 2018 I really like Bukit S...

With another wave of results being released, I will be doing my 2nd review of some of the counters in my portfolio. Read the 1st review here. The Comeback Kid - Singhaiyi Group Ltd -  Full Year 2017 Results [No Review via Super Scorecard] Read here for the past write up of this counter. The reason this counter was name as  'Comeback Kid" because I bought, sold and bought this counter again over the space of 5 months. In January, I purchase this counter in at 97 and sold some of it at 113 within 2 days due to the sudden rise. By mid-Feb, I sold all of the remaining shares of this counter at 135. In April, I decided to repurchase this counter over 3 tranches at 120, 116 and 117. This was because based on my previous write up , I believe there are still many catalysts yet to be realised Thus, I was hoping that during the release of results, the company will be providing some catalyst to push the share price up. However, this did not materialize and the share pric...

Readers of my blog will know that I am a huge supporter of this counter, Bukit Sembawang Estates Ltd . Fundamentally it still stand as one of the best property counter in my view - loaded with cash that can at least cover the dividend for another 3 years and having development properties without any debt. Recently, I had a discussion with a reader on this company. He is an accountant and were asking me some questions on its financials. I was able to answer some, while others requires a lot of digging. Nevertheless, he came to a conclusion that the "Development Properties" stated on the Current Asset were at "cost". I double checked on the 2016 annual report and found this to be true. This meant that I am  "sitting on unrealised gold" by having this counter as part of my portfolio. A screenshot of the Current Asset in its latest Quarterly Financials A screenshot of the Development Properties in its 2016 Annual Report. Then, one day, while ...

Bukit Sembawang Estates Ltd has recently release their latest full year 2016 financials. I have shared previously in 2 separate posts why I invest in this company. Upon release the financials, the share price has jumped from 4.44 to 4.77 within 5 days – Awakening the Giant! So let’s review what was stated in the latest financials: -           The company has decided to keep to their aggressive dividend policy (YESHHH…33 Cents per Share) despite net profit dropping significantly. -           The company balance sheet continue to remain debt-free. -           Today’s price of 4.660 is still below its Net Current Asset Value by more than 5%. So Although I made gains but I am keeping and not selling because… 1. Debt-Free – It still remains one of the developers in Singapore that do not have any debt in its balance sheet. T...

When Japan announced that they are adopting negative interest rate , I decided that a new era has arrived. Imagine lending $100k to expand your business, and after 5 years, you only need to return $100k or maybe slight higher. Cost of borrowing will have really gone down for the corporates and even the savers. Individuals, who are savers, will have to find alternatives to get more return. Stock Market around the world has been very volatile - I really don't know what will happen tomorrow. Instead of doing an analysis individually, I rush through the weekend to finish this - Analyse on the stocks I am interested to invest in and find the target price I should enter for that stock. Do note that minimum input was done and business analysis was put aside. The review was just done on the financials.  And also, a mindset was required for this analysis - "Every stock will have an entry price. It is just a matter of how far it is or how near it is from its current price."...

Do you know of the Qualifying Certificates Rules set for Developers? When I purchased Bukit Sembawang Estates Limited ( Read my previous post ), it didn't occur to me that this was a major thing. I heard about it but my overconfidence "stop" me from finding out more. Thus, this was my mistake. Nevertheless, over my course of work, I had to research into this topic and realise THIS IS A BIG ISSUE FOR DEVELOPER COMPANIES LISTED ON SGX! So what is a Qualifying Certificate and its conditions? Any developers with "foreigner" shareholders are required to have a Qualifying Certificate for its developments. Developers solely with Singaporean Shareholders are exempted. Thus, all listed developers are considered to be developer with foreigners and their developments will require a Qualifying Certificate. Developers whom purchase the land from Government (a.k.a Government Land Sales) are also exempted. This is most probably to protect developers whom intent to de...

I wanted to wait till later to write this post on Bukit Sembawang Estates Limited (BSE) - as it is only a recent addition to my portfolio. However, after reading the post by Brian's on the developer's ratio and not including BSE in the list, I decided it is my role to update others on the financial health of BSE (Brian, no offence! Just kidding.) Just a quick note before I start off, when I look at Blue chips as compared to Penny Stock/Small Caps, I do not use the Value Stock Scorecard to do any scoring. After all, to me, I review a blue chip via its profitability, branding, future projects and business models. Profile in Short Founded in 1911 and based in Singapore, BSE is a residential property developer. (Yup, that's it. So easy!). Why So Good? No Debt - As many of you know, I hate debt laden companies. When I learnt that BSE is debt-free. I am SHOCKED! From my little understanding of developers, I am quite sure many of them hold significant long term debt and ar...