Singpost

Went to Singpost Building on Wed evening to mail a parcel containing my old Seagate 160Gb Harddisk that I need to send to Seagate distributor for repair since it's still under warranty.

This reminded me to blog about Singpost as a listed company in Singapore Exchange.

Singpost - Last done $1.02
Dividend - Since FY2006/07, Singpost has been distributing a quarterly dividend for a total of 6.25cents for each FY
Dividend Yield - 6.13% pa (based on last done price of $1.02)

I have been holding 5lots of Singpost since 15 Aug 2008 at a purchase price of $1.01 (dividend yield of 6.19% pa based on my purchase price). I were attracted by this counter mainly due to its nice dividend yield and I firmly believe that its business and operations will still continue to grow.


Past share price performance:
- Mostly trading at least or above $1.20 from Jun to Oct 07 before the financial meltdown

- During the recent financial crisis
-> Low on 29 Oct 08 when it traded at day-low of $0.61 and closed at $0.63.
-> Low on 05 Mar 09 when it traded at day-low of $0.74 and closed at $0.75.

- After briefly touching day-high of $1.00 on 11 Dec 09, it had hovered around $0.96 to $0.99 till the 1st trading day after the Christmas holidays, 28 Dec 09, when it traded at a close range of $0.99 to $1.00 and finally broke the barrier to close at $1.00 exactly on this day. After this, the price never looked back and has been trading at a range of $1.00 to $1.03. At this pricing, the dividend yield is still pretty decent (at least 6%).


The growth of Singpost is not as great as many others out there but the dividend yield is pretty decent and it's also a defensive play. It currently monopolises our local posting/mailing scene and also owns the Singapore Post Centre building at Eunos (just opposite Paya Lebar MRT Station) which also presents a great potential to unlock the building's value.


Action:
I will still continue to hold on to my 5lots of Singpost in my "long term holding for dividend gain" portfolio and will even load more during the next major market correction/crisis. This forms part of my conservative segment in my portfolio.


More information and updates @Singpost Investor Relations