Sunday, 24 December 2017

My story of Aztech and Bakertech II

I have talked about my Aztech story in the previous post, now let's move on to the second story, which is BakerTech. The stock is still trading on SGX.


2. The Baker Technology story


Why I invested in it?

It's got an attractive dividend yield for its share price and the oil industry was doing very well back then in year 2010. I recalled there was a special dividend in 2013 of $0.085 per share.

If you searched around, quite a few finance bloggers / sites did cheer-leading for this stock till year 2014, which further boosted my conviction that this share will do well. Imagine those who bought in early 2014...


What happened?

After the oil crash in year 2015, its share price only seen the downward spiral, due to impacted earnings. This decline has not seen reversal to date.

(I missed subscribing to its warrants issue offer of 2 for 5 @ SGD 0.01 in year 2012 when its share price was still ok then.)




In May 2016, it consolidated its shares at 5-for-1 due to the minimum trading price requirement imposed by SGX (price was below $0.20).

I believed its ticker has changed to BTP that time but I am not sure why the chart for BTP can date back to way before consolidation time. Was its chart plotted from back-extrapolation, can someone enlighten?



Outcome

I divested my shares before the consolidation, sold price was at $0.183. The decision was made as I saw no signs of price trend reversal. That amounted to more than 50% loss in capital.
It's dividends over the previous years have kind of made up for part of the loses (some panadol better than none).

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I won't give you my conclusions to the stories here so that you can draw your own conclusions. Do you have your own investment stories too?

Merry X'mas everyone! :)





Follow the wind, borrow its strength but don't fall asleep while sailing. Know where we are heading and when the thunderstorm comes remember to dock. Because we are just sailing on small boats. Don't blindly follow the Titanic!
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1 comment:

  1. Let me help to conclude. Don't anyhow follow bloggers cheerleading as they may be sitting on past large doses of Panadoles or frozen meats to cure all their heartache.

    ReplyDelete

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