Hock Lian Seng: Buying on weakness.

In my last blog post on Hock Lian Seng, I said that we could see its share price moving lower and it has moved lower. 

Do I believe that this is the lowest it could go?





Well, I certainly do not know if the stock price will stop declining although I will say that it could have found support. 

We can see this if we draw a trendline connecting various lows. 

Also, the higher low in the CMF gives us a positive divergence against a declining share price.

More likely than not, there will be a host of positive catalysts for Hock Lian Seng's share price to move higher but investors must be willing to wait. 

While waiting, the company's payment of meaningful dividends to shareholders annually will provide some comfort. 

If the dividend per share should be a more conservative 1.5c, with a share price of 26c, we will have a yield of 5.77%.





The weakness in Hock Lian Seng's share price allows me to buy more with a bigger margin of safety and any further weakness will create more opportunities to accumulate.

Related post:
1. Hock Lian Seng: Dividend of 1.8c per share.
2. Hock Lian Seng: Insider buying.

Show Luo and his hair.

I am not a fan of Show Luo, nickname Xiao Zhu (Little Pig), but I was told that he is very particular about his hair. Quite the diva, apparently.

I couldn't stop laughing when I stumbled upon the following photo:

I wonder if EC House can do this for me. I want to be fashionable too.

Had a good laugh?

Whoever is responsible for this, thanks for brightening my day. :)

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3. A short fairy tale!
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5. This kid can dance!