SATS

[Temperament]

I feel very strange whenever AGM OR EGM is mentioned. i have been investing for 23+ years and yet have to attend one.
i know sometimes you can get some tips by just observing how the top management of the company "behaves" in AGM.
The questions some intelligent investors ask and the answers by the top management....etc..... maybe beneficial information or some new discovery.
Besides is the food good?
Which company provide the better food and enough of it?
i hate "rushing" for food at buffet.
It turns me off from eating.
i am a person who may stinge on anything except food.
Ha! Ha!
Just for laugh

[KopiKat]

Hi all
I am vested again!
Bought some today!

Compared to the recent hi of $2.8x, $2.54 (Friday close) does look attractive (even after factoring in the 21ct div that just went xd). The Cash = $534Mil (post-div = $302Mil) is another plus for me (but likely to be used for acquisitions).

Still, I can't bring myself to grab some....despite the bullish market.
What's stopping me for now,

- Yield = 4.33% (exclude Special Div)
- Declining profit margin (didn't study in depth, may be due to Foreign Exchange to a certain extent)

As it's not a Growth stock, I'll patiently wait and see (miss is ok). Will make a decision before their 1H results (Div = 5ct for past 3 years) in early Nov, assuming I'm not too distracted by other stocks...

[Temperament]

Selling at $2.55 and buying back at $2.6 to enjoy the 21cents has completed. At this "stage," i may sell more than buy. But i will most probably keep some bought at 2008/2009 price unless crazy bull comes charging.
Seriously this stock is for long-term though for it to growth it must go oversea (Invading other people's territories?)
My 2 cents.

[WolfT]

Hi all
I am vested again!
Bought some today!

Compared to the recent hi of $2.8x, $2.54 (Friday close) does look attractive (even after factoring in the 21ct div that just went xd). The Cash = $534Mil (post-div = $302Mil) is another plus for me (but likely to be used for acquisitions).

Still, I can't bring myself to grab some....despite the bullish market.
What's stopping me for now,

- Yield = 4.33% (exclude Special Div)
- Declining profit margin (didn't study in depth, may be due to Foreign Exchange to a certain extent)

As it's not a Growth stock, I'll patiently wait and see (miss is ok). Will make a decision before their 1H results (Div = 5ct for past 3 years) in early Nov, assuming I'm not too distracted by other stocks...

Well, buying some back in batches...no rush, anyway no other better stock than this at the moment.
I used to buy SFI but since it is makan by SATS so gotta follow it...

Hi Pianist
I have never been to any AGM before...I usually have no time and if I have time,I would spend it with my family.
I feel that if a coy want to keep anything from you,u ask them in the face also no use...by the time we retail investor know of the news(usually bad news),it is too late to run.
Lastly I may go to one if I become a sub shareholder to mingle and take pics...

[Drizzt]

thing that puts me off is also for a simple food business its cash flow statement isn't showign the strength

[Muck]

[quote='WolfT'

I feel that if a coy want to keep anything from you,u ask them in the face also no use...by the time we retail investor know of the news(usually bad news),it is too late to run.
[/quote]

Hi WolfT, I think one benefit of Agms really is to experience how mgt treats its shareholders. Key to this is how they answer qns. Do they seem genuinely interested to explain certain rationale? Or are they haughty and dismissive? That way I'll get a sensing of whether I should trust them with my money. Sometimes words alone dun tell as good a story without accompanying body language, facial expressions, and intonation.

[WolfT]

[quote='WolfT'

I feel that if a coy want to keep anything from you,u ask them in the face also no use...by the time we retail investor know of the news(usually bad news),it is too late to run.

Hi WolfT, I think one benefit of Agms really is to experience how mgt treats its shareholders. Key to this is how they answer qns. Do they seem genuinely interested to explain certain rationale? Or are they haughty and dismissive? That way I'll get a sensing of whether I should trust them with my money. Sometimes words alone dun tell as good a story without accompanying body language, facial expressions, and intonation.
[/quote]

Never been to one before so cannot comment going useful or not!
It is just that u cannot invest money base on ceo able to answer question.
The real world cannot be read like a book. I am very afraid of 'smiley tiger'.
Of course there are good sheeps but when force to a corner they will also turn black!
Good luck!

[KopiKat]

Phillip report on their visit to,

Marina Bay Cruise Centre Singapore (MBCCS)

Extracts,


Company Overview

SATS Ltd is a provider of Airport Services & Food Solutions with a dominant presence in Singapore's Changi Airport. The Group also has a network of JVs across Asia and holds a majority stake in TFK Corp, an inflight catering business based in Japan.
- New cruise centre contribution immaterial in near term
- Highly variable cost structure
- Dividend yields of 5-6% remains attractive
- Maintain Neutral with TP of S$2.65

What is the news?

We visited the Marina Bay Cruise Centre Singapore (MBCCS) that is operated by SATS's new JV, SATS-Creuers. Salient points from the visit:
- Infrastructure. 80 check-in counters, max capacity of 6,800 passengers at any time, 25 coach bays, 327 carpark lots, walkway linkage to MRT station expected to be ready in 2014, minimal retail space.
- Customers. Royal Carribean International, Celebrity Cruises, Holland America Lines, Princess Cruises, Silversea Cruises and Azamara Cruises. Hosted 8 vessels since opening in May 2012. Another 60 plus vessels scheduled till the end of FY13E.
- CruiseFly. 5 airlines (Singapore Airlines, SilkAir, Air China, China Eastern & China Southern) currently offer CruiseFly services.
- Staff. 12-15 permanent staff with extra workload handled by subcontractors.
- Financials. Not expected to reach revenue of S$10mn in the near term, highly variable operating cost structure.

How do we view this?

Our view remains unchanged and do not think that this new venture would have a material impact to SATS and its stock in the next 1-2 years. The ability to handle larger vessels is the only significant advantage that MBCCS has over the existing cruise terminal facility at Harbourfront Centre.

Investment Actions?

While we maintain our Neutral view on the stock, our Singapore Sector Strategist remains overweight on the Aviation Services sector for their sustainable yields. On our projections, SATS would yield 5-6% over the next 3 years.

[orang]

Hi all
I am vested again!
Bought some today!

Compared to the recent hi of $2.8x, $2.54 (Friday close) does look attractive (even after factoring in the 21ct div that just went xd). The Cash = $534Mil (post-div = $302Mil) is another plus for me (but likely to be used for acquisitions).

Still, I can't bring myself to grab some....despite the bullish market.
What's stopping me for now,

- Yield = 4.33% (exclude Special Div)
- Declining profit margin (didn't study in depth, may be due to Foreign Exchange to a certain extent)

As it's not a Growth stock, I'll patiently wait and see (miss is ok). Will make a decision before their 1H results (Div = 5ct for past 3 years) in early Nov, assuming I'm not too distracted by other stocks...

Did you consider the payout for FY2010?

[KopiKat]

Hi all
I am vested again!
Bought some today!

Compared to the recent hi of $2.8x, $2.54 (Friday close) does look attractive (even after factoring in the 21ct div that just went xd). The Cash = $534Mil (post-div = $302Mil) is another plus for me (but likely to be used for acquisitions).

Still, I can't bring myself to grab some....despite the bullish market.
What's stopping me for now,

- Yield = 4.33% (exclude Special Div)
- Declining profit margin (didn't study in depth, may be due to Foreign Exchange to a certain extent)

As it's not a Growth stock, I'll patiently wait and see (miss is ok). Will make a decision before their 1H results (Div = 5ct for past 3 years) in early Nov, assuming I'm not too distracted by other stocks...

Did you consider the payout for FY2010?

FY12 (Mar) : Interim = 5ct ; Final = 6ct ; Special = 15ct ; EPS = 15.4ct
FY11 (Mar) : Interim = 5ct ; Final = 6ct ; Special = 6ct ; EPS = 17.4ct
FY10 (Mar) : Interim = 5ct ; Final = 8ct ; EPS = 16.7ct
FY09 (Mar) : Interim = 4ct ; Final = 6ct ; EPS = 13.6ct
FY08 (Mar) : Interim = 4ct ; Final = 10ct ; EPS = 18.2ct

Looking at my records on Revenue, SFI must have been acquired in FY10, so prior to that, the figures may not be as useful for comparison purposes. But, looking at EPS vs DPS, it'd seem their Dividend Payout is 70%+ of EPS on years where no Special Div is declared.

So, even if I were to assume an 80% of FY12 (Mar) EPS as DPS,

ie. 0.8 * 15.4ct = 12.32ct

This gives a Dividend Yield = 4.831% (using mkt close = $2.55)
Assuming I target a minimum Yield = 5%, my target buy price would be $2.46 or lower - I think it may have hit that price recently?

No, I didn't do very detailed analysis except for EPS vs DPS but I do keep track of some other Income and BS figures. I do like their High Cash, Low Debt tho'. Main thing that'll trigger me to buy is the Yield and I'd make my decision after comparing against other similar Low / No Growth stocks when it's only closer to those months when they're likely to declare dividends. At other times, I can be triggered to buy if they's any big sudden drop in share prices and it hit my personal target buy price.

Sorry, the yield is not high enough (unless they're going to pay Special Div every year - as posted earlier, I'll be keeping a closer watch on their cash position for such a possibility) for my liking to be a long term hold stock for me.