Tuesday, September 29, 2020

Added: ComfortDelGro (CDG) Sep 2020


 

Bought 13,000 ComfortDelGro (CDG) shares at $1.43 on 29 Sep.

This bring my total CDG shares holding to 27,000 shares.


Reasons for buying: 

1) Potential 2 bagger


Was considering buying CDG or others stocks (CapitaRetail China Trust / OCBC / HongKongLand), but decided on CDG due to higher potential to achieve 2 bagger


2) Scaling down of taxi rental subsidy

CDG will provide 25% rental subsidy from now till 31 Oct.

This is a scale down from 100% during Circuit Breaker -> 50% -> 40% -> 30% -> 25%.

This will translate to higher profit for CDG.


3) Singapore gradually open up its economy

Places are getting more crowded and more companies are getting employees to start to work in office alternate week.

Singapore also allow MICE (Meetings, Incentives, Conventions and Exhibitions) with up to 250 participants from 1 Oct.

Red colour "HIRED" sign can be seen on majority of taxis during morning and evening peak hours too.


4) New regulation

- LTA had set min age of 30 for new private hire driver wef 15 Sep

- Additional government grant provided to transport operator such as CDG

- New ERP system. Replacement of existing in-vehicle unit from 2H 2021 onward (Additional income for Vicom & STA[Member of ST Engineering] )



Related post: 

1) Added: ComfortDelGro (CDG) 

2) Added: HongKong Land USD (Aug 2020)

3) SOLD: Keppel Infrastructure Trust & Added: ST Engineering

4 comments:

  1. Agreed.

    Add and wait patiently, I think this one will bear a good fruit. I'm likely to add some to my existing positions too this week :)

    ReplyDelete
  2. 2 bagger will take a long time, Why not buy nasdaq 3 bagger also possible by the time this lousy comfort give 2 bagger, I am up 250% since vest early April in TSLA SQ and a few more. Imagine if i stay here at this silly SGX, I am still sitting on huge losses, I suggest all go vested in US, Let SGX sink,

    ReplyDelete
    Replies
    1. Yes, I do agree that US market have higher chance to hit 3 bagger or higher.

      But I guess as my blog title goes, I prefer to eat chicken rice daily than go for monthly buffet (Dividend than capital gain).

      If that stock is able to let me eat chicken rice daily + monthly buffet, that will be the best of both world :D
      I think CDG have this potential at this moment.

      Delete