Just sharing:
(I am no longer holding the shares now, as i sold in 2014).
I bought UMS shares in 2013 abt 38.5cts.
If let's say i bought 100,000 @38.5cts/share. It had cost me $38,500 (my capital).
UMS issued 2 times bonus shares in 2014 & 2017 every 4 shares to 1 share. So my 100,000 shares would had become 100,000 x 125% x 125% = 156,250 shares.
UMS paid 4 times dividend a year (quarterly) with total of 6cts per year (except 2013, UMS paid 6.5cts). So i should have collected:
2013: 100k x 6.5cts: $6500
2014: 125k x 6cts: $7500
2015: 125k x 6cts: $7500
2016: 125k x 6cts: $7500
= $29,000.
UMS value as per time of writing = 156,250 x $1 = $156,250.
Value + dividend = $185,250.
This is just an example of one stock which such capital/portfolio growth can only be achieved through long term holding in a good company. Of course, we have to continue monitoring the company quarter to quarter, year to year to check if the result is still on track. Should the result out of track and the share price growth is much higher than co's growth rate, we should not hesitate to divest our holding. Or should we found other co with better prospect and lower pe, we should divest and move to others.
For this reason, i strongly believe long term investing is the best.
Just sharing my humble opinion.
Ums really unlocked value this year, just like micro-mechanics holdings.
ReplyDeleteWish I can achieve a share like that also... wonder if ellipsz will surprise us in the long term..