Saturday, May 24, 2014

Bought Super Group: Now hoping for the best

I had to check my phone again because it was showing me that shares of Super Group were traded close to SGD 3. This was especially shocking since it was almost close to SGD 5.00 at one point. Scrambling for news, I discovered that Super's profits were hit by the unrest in Thailand, given the company's exposure to the market there. I decided to take the plunge and may be do some contra-ing as I have done before. However, given that I was buying at a period so close to XB, the temptation was there for me to settle. And I did settle. Now, hope is much of the equation. My line of thinking is that once the price goes XB, the lower price would prompt people to buy in. I am painfully aware that while companies that give bonus shares tend to indicate positive outlook within the company, there are companies that did the same and tanked, Etika International being a good example. It has yet cross the SGD 0.50 mark that was its high before it went XB. More to monitor in the coming months.

No comments:

Post a Comment