As from April 2013 my Journey in Investing is to create Retirement Income for Life till 80 years old for two over market cycles of Bull and Bear.

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This blog is authored by an old multi-bagger blue chips stock picker uncle from HDB heartland!

"The market is not your mother. It consists of tough men and women who look for ways to take money away from you instead of pouring milk into your mouth." - Dr. Alexander Elder

"For the things we have to learn before we can do them, we learn by doing them." - Aristotle

It is here where I share with you how I did it! FREE Education in stock market wisdom.

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Value Investing
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Technical Analysis and Charting
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Thursday, 8 February 2018

Yield of dreams: Investors have "a once in a lifetime opportunity" in blue chips (5)


Read? Yield of dreams: Investors have "a once in a lifetime opportunity" in blue chips (4)


For the fourth quarter, net profit reached a new quarterly record of SGD 1.22
billion, up 33% from a year ago. Total income rose 10% to SGD 3.06 billion, staying
above the SGD 3 billion mark for the second consecutive quarter, as net interest income
rose 15% to cross the SGD 2 billion mark for the first time. Total allowances halved.

The recent finalisation of Basel capital reforms has provided clarity on future regulatory requirements. They have a benign impact on DBS, enabling its capital requirements to be rationalised. In view of this, the Board suspended the scrip dividend with immediate effect. It also determined that ordinary dividends can be sustained at higher levels and affirmed the policy of increasing them over time in line with earnings growth. 

For the final dividend of 2017, it proposed a payout of 60 cents per share, which will bring the full-year ordinary dividend to 93 cents per share, an increase of 55% over the previous year. In addition, it proposed a special dividend of 50 cents per share as a one-time return of the capital buffers that had been built up and to mark the fiftieth anniversary of DBS.

CW8888: $0.93 full year dividend. Shiok for blue chip like bank!

1. Average yield over 15 years for this freehold blue chip is about 9%.

Comparable to 90% dividend payout S-REIT!

2. ROC on dividends only is 135% or 2 bagger in the pocket!



3 comments:

  1. Congrats Uncle8888! CNY angpao LOL!!

    That's the power of buying large cap blue chips when STI is down -50% or more!!

    For those younger investors still in accumulation phase, they should all be praying for another AFC or GFC! Hohoho!!!

    The current market correction doesn't seem to be the start of anything really serious ... not when banks are printing record profits! LOL!
    But the volatility may still persist for a few weeks...

    ReplyDelete
    Replies
    1. That's the power of buying large cap blue chips when STI is down -50% or more!!

      Demonstrated. LOL!

      Unexpected yield for a bank stock.

      DBS Group Holdings will pay S$1.20 per share in dividends from 2018 onwards - double its payout in three of the past four years, the bank said on Thursday.

      This will translate to 16% yield on cost. Now can keep DBS as exhibit

      Delete
  2. Bro cw

    I really like ur freehold like dbs ... hope I can get 1 in few years time :)

    Sy

    ReplyDelete

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