I regretted selling 4 lots of my Starhub shares. I never got to pick them up at a lower price so this makes a great case study for those who sold off wanting to collect at a lower price.
Starhub today announced their first quarter results. The result turn out to be great as last year first quarter it was very very dire due to very high selling expense.
Not the case this year.
- Profit rose 62% from 42mil to 69 mil
- EBITDA margin rose from 22.5% to 30.1%
- Cash holdings boosted from 237 mil to 303 mil
- Total debts fell from 800 mil to 750 mil
- Free Cash Flow was better at 132 mil vs 122 mil in 2010
Good result because debts are getting paid off, and net debt is only 450 mil. If we estimate a full year FCF of 520 mil, they can pay out 340 mil in dividends yet have 180 mil to pay off debts further.
Starhub is in a great position! Really regretted my decision!
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gregg
Monday 9th of May 2011
Hi Drizzt,
I am thinking of switching Etika to Starhub, my entry price of Etika is too high, recent quarter result was hit badly by the raw material price increase sharply.....
waiting starhub at 2.75.....:)
gregg
Saturday 7th of May 2011
Hi Drizzt,
Few brokerage firm are downgrading starhub rating and saying it has not meet the expactation result. This would weaken the price in the coming weeks, definitely will create the opportunity for us to accumulate in the cheaper price.
Drizzt
Sunday 8th of May 2011
gregg, that might not happen. Starhub have shown in the past that their share price can be very hard to fathom!
WK
Saturday 7th of May 2011
Still can buy back starhub... not like its going anywhere soon...
Jared Seah
Friday 6th of May 2011
Hello Drizzt,
If only we can predict the future!
I have similar experience in the past. Buy 100% and sell 100%.
I've learnt by trial and error that scaling in and scaling out works better for me - it's my admission that I can't time the market.
Of course this would incur more transaction costs (in percentages a lot but it's max $25 dollars per internet trade!); but I've learnt that since I am not a day trader, trying to save that extra few transaction dollars actually cost me more in the long run.
Drizzt
Saturday 7th of May 2011
hi jared and WK, true. I still have some but probably missed my chance to accumulate cheap.
Dividends Warrior
Thursday 5th of May 2011
Hi Drizzt,
It's ok. Dun beat urself too hard over it. Telcos are for keeps unless something drastic happens. Like suddenly, people stop using cellphone due to some crazy new revolutionary technology invented.
Well, probably not in my lifetime. ^^
I dun think I will sell off my telcos stocks easily just for capital gains unless it is like above 50% of profit.
Drizzt
Saturday 7th of May 2011
Nothing is for keeps in my opinion. the sooner we fall into that trap of an investment that never dies, the sooner we are going to have a big regret.