Wednesday, November 15, 2017

Does My Investment Strategy Work for me?


Innotek Q2 result was a disappointment, the bottom line had been declined for 2 consecutive quarters. Thus, it met my Selling Criteria.
I sold all my holding about three months ago as soon after they released their Q2 result.

Two days ago Innotek released Q3 result and to my surprise most of their plans turned out to be quite well. Net profit for 9M has increased to about 7.1mil, Q3 revenue up about 1.3% driven by growth of TV segment and they are on track for their Thailand expansion with completion targetted to be first Half of 2018.

I made my 2nd time purchase of Innotek yesterday at 35.5cts per share as now Innotek meets my Buying Criteria.

I sold my Innotek at 33.5cts per share. Three months after selling, i bought back. Am i in the right track of my Investment Strategy?

I wonder......sometimes i am not very sure of myself too if i am on the right track and if my Investment Strategy works for me. If i keep my Innotek shares until today which i amend my 2nd Selling Criteria a little bit to as long as the revenue does not decline (we are talking abt more than 10% declining), i should give the management longer time like another 2 more Quarters to prove themselves to carry out their business plan or i should just do what i did with Innotek?

In terms of monetary, actually i made much more gain this round with sticking to my current Selling Criteria. I channelled my fund from Innotek to buy Cogent & Ellipsiz. Cogent gave me low five figures profit and Ellipsiz as per current giving me high four figures unrealized profit + realized dividend. And the different between my 2nd time Buying Price to my Selling Price cost me a low four figures.

Honestly i am still puzzled...i guess only time is able to tell me if i need to change my system. Just hope my learning experience will not cost me too much.

While i am still fixing my puzzles, let's continue to learn.........

1 comment:

  1. I am confused. Isn't the profit for Q3 also down? Isn't this also still a bad sign?

    ReplyDelete