Someone ask me whether Starhub is good for long term investing…… My answer: “Depends on your objective and your risk appetite”.
For me, Starhub is a boring stock base on a few reasons:
Fundamentally
- I will not invest in a stock which is NOT undervalue. Starhub is overvalue base on PE ratio & PEG valuation method.
- 4.4% Dividend is not attractive to me because there are other stocks with better Dividend like REIT. There is no guarantee that Starhub must pay dividend to the investor as a company, unlike REIT which governed by law that they have to pay out 90% of the net income.
- One of my investing rule is “Buy Low Sell High”. Current Starhub stock price is DEFINITELY NOT at Low. No point for me to take the risk because downside risk is much higher than upside potential.
Key Statistics for STH
| Current P/E Ratio (ttm) | 21.6436 |
|---|---|
| Estimated P/E(12/2013) | 21.3679 |
| Relative P/E vs. FSSTI | 1.6182 |
| Earnings Per Share (SGD) (ttm) | 0.2093 |
| Est. EPS (SGD) (12/2013) | 0.2120 |
| Est. PEG Ratio | 5.6529 |
| Market Cap (M SGD) | 7,787.37 |
| Shares Outstanding (M) | 1,719.07 |
| 30 Day Average Volume | 1,692,133 |
| Price/Book (mrq) | 178.9531 |
| Price/Sale (ttm) | 3.2117 |
| Dividend Indicated Gross Yield | 4.42% |
| Cash Dividend (SGD) | 0.0500 |
| Last Dividend | 04/17/2013 |
| 5 Year Dividend Growth | 5.05% |
| Next Earnings Announcement | 05/03/2013 |
Technically
- I am a trader. I HATE to see those stock chart in one straight line. There is no clear pattern, support and resistance to plan my trade.
- Starhub is trading in a Parabolic curve without a healthy correction along the way.
- I am unable to plan my profit target, stop loss and holding time frame.
Is Starhub a boring stock? I am also interested to know from you… Feel free to leave your view here.
If you lack some technical skill, starhub can be a boring stock.For me, the major correction is at hand: It’s target price should be around $5 (ie: 2.6×2). This is using the factor of 2. It is also in the process of forming 3 peak and a domed house formation-The peak is almost completed.
Yes. Starhub is a very boring stock.
That’s why I love it. ^^
This is great information for those who are into stocks investment. I will be purchasing my next set of stocks before the end of second quarter. I think I will consider your recommendation. Thank you for sharing!
I was never interested in Starhub, as it is a risky company that might default anytime. The current liability is much higher then the current asset. The Asset value is shield by 397million intangible asset which will be useless when defaulted, do you think brand name etc. can sell that much? The total equity currently is only 43.5million, which means if default the asset is unable to cover even the liabilities. It will become zero dollar company overnight if the debtor start to chase after them.