Venture Corp

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#21
The thing i like about Venture is its consistency in its dividends despite earnings drop. During the worse of 2008 recession, it maintained its 50 cts dividend since their profit and FCF can sustain it. This is despite their share price dropping to below $5. How many companies in SGX do that? Many will not hesitate to cut dividends when their earnings drop. Some will even issue rights to improve their balance sheet. Venture did neither.

I think its not venture did something wrong causing profit to drop. Its the electronics industry as a whole is still not in recovery stage. Amtek earnings is also not great and has been dropping since the last recession. I invest in Venture because of consistency in dividend. Not because it is a growth stock. Hence i chose Venture over Amtek.

Some concerns are:
1) Mr Wong is no longer young. He might not have the energy to expand into other business or take the group further. There are really a lot of subsidiaries under venture and its really not easy to manage so many of them.

2) This year earnings unable to sustain 50 cts dividend. So to mitigate the risk i am assuming 45 cts going forward.

Recently lightly vested.
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#22
Electronics sector as a whole did not recover as anticipated after GFC.

No one ever mentioned "tech bubble" after GFC.

I only hear "smartphone bubble", "property bubble", "commodity bubble", "gold bubble", blah blah blah.

Only Hi-P have direct exposure to "smartphone bubble". I recall seeing Hi-P target above $1.

Currently, I view Venture as a defensive tech dividend play.

3D printing is too much hyped up.

I only believe in the sustainability of current annual 50 cents dividend payout.

Happily Vested Big Grin
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#23
Why nobody considered venture as an acquisition play? I remembered there was an edge article earlier where the management mentioned about consolidation of the industry?
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#24
For a quick read written by SillyInvestor, that summarizes quite a few good key points.

http://www.stokflok.com/content/quick-look-venture
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#25
Why nobody mention about potential 3D printing tech play?
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#26
Just received Annual Report 2013.

1. Notice of AGM
2. Proposed renewal of share purchase mandate
3. Proposed adoption of executives' share optio scheme 2015
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#27
Substantial Shareholders:
1. Aberdeen Asset Management PLC 24.99%
2. Aberdeen Asset Management Asia Ltd 23.98%
3. Aberdeen International Fund Managers Ltd 8.92%
4. Aberdeen Asset Managers Ltd 8.61%
5. Sprucegrove Investment Management Ltd 8.05%
6. Wong Ngit Liong 6.98%
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#28
I completed my research on Venture. Its altogether 3 blog posts. Might be too long to posted here, so from the latest to the oldest:

1) http://sillyinvestor.wordpress.com/2014/...a-venture/

2)http://sillyinvestor.wordpress.com/2014/...t-venture/

3)http://sillyinvestor.wordpress.com/2014/...t-venture/

Vested interest, comments welcomed
life goes in cycles, predictable yet uncontrollable; just like the markets, but markets give you a second chance
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#29
Research report from Maybank 5th June

http://research.maybank-ib.com/pdf/docum...4_4584.pdf

It is the source (earlier research reports )where I do further digging of its customers, competitors,etc.
life goes in cycles, predictable yet uncontrollable; just like the markets, but markets give you a second chance
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#30
Hi Greenrookie,

I had previously held a bit of Venture. Similar to right now, it is a story of recovery. However, the story never materialised, and the share price took a plunge... (Cut Loss!) Not sure how it going to be different now. Until the story is proven true, I will just stay aside and watch the show for now.

Anyway, best of luck to you. Hopefully I can join you in this venture next time. Smile
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