Impulsive buys on last 2 days of August

Today is the Cooling-off Day of Singapore Presidential Election.

Today is also a pretty cool day.

My emotion is anything but cool though. I made a few impulsive buys last night and this morning.

Impulsive not because the counters I bought are no good but because I bought simply thinking that the price was attractive as compared to a few months ago.

Last night’s purchase was the more impulsive purchase. I have been looking at utilising the sales proceed made from my selling of ISRG in July. I was thinking of adding back ISRG which reported quite a good Q2 results and its price has retreated quite a bit, making the forward PE more palatable. I was also thinking of initiating a position in ASML or adding more to FVRR. As I could not make a decision each time, I did not proceed.

Last night, I was browsing through my watchlist and saw that Shockwave Medical (SWAV) price have retreated by about 25% since its high in July to hit $220+. SWAV is a growth counter that I am interested in for a while but I have not put in the necessary effort to know more about it. At the current price, its forward PE is at 64x! Yes, I am jumping from the expensive ISRG to another expensive counter.

However its growth potential is high and so I decided to make a very small purchase to motivate myself to learn more about the counter. I would have gotten it cheaper a week earlier but then I wasn’t browsing through my watchlist.

Besides that, I made the wrong calculation on the cost of purchase and decided to make two purchases, thinking that the two trades would be amalgamated. Only this morning did I realise that there is no trade amalgamation for US Exchange!

The only consolation is trade fees for US stocks on FSMOne has just reduced. So the fees of the two trades is still lower than the previous fees of one single trade.

After looking at my US watchlist, I took a look at my SG watchlist and realised that Sheng Siong price has dropped from the high of $1.8+ in May to $1.5+. I divested Sheng Siong in May at $1.77 to raise fund for other purchases. With some spare CPF to invest and am not ready to add more AEM and Micro-Mechanics yet, I decided to buy back some Sheng Siong as it should be able to sustain its dividend going forward. I am getting a yield of 4.0% at $1.54, which is not too shabby, especially there’s the possibly of growth and increasing dividend in the future.

The final purchase was Venture. If you have been following my blog, you would know that I have been adding Venture for the past few months. A fast check on my spreadsheet shows that this is my fifth purchase since March.

My big assumption is that they will maintain their dividend despite the likely weaker results this year. So at $12.67, that gives me a yield of 5.9%. It’s a good deal for me but I think I have enough of Venture for the moment. Moreover, with this purchase I am left with little spare cash in my portfolio.

The three purchases are definitely impulsive and made with little deliberation.

Not very smart but what’s life without a bit of impulse?

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