I just bought 5k shares of Singtel.
I have another 15k on hand which I plan to buy Singtel if the price of the share dropped lower. Currently it is still hovering in the region of +-3.
Lately I have been following up on hyflux news. Not because I owned it shares, rather because I want to know the lessons that could be gleaned.
It boils down once again to the cashflow. Negative operating cashflow is a warning sign that something could be wrong if the company is still profittable. This suggests to me to look at the cashflow from financing. Is the company borrowing too much?
I also took a step back and relooked at my shareholding. Sembcorp Industries caught my eyes. It is currently over leveraged but i could see that its operating cashflow is positive. But it does not have free cash flow because of the capital exenditures back into the business. it also had more than 1 billion cash on hand to help tide over any difficulties.
I would not get too worried to sell it off.
