Hotung attractive potential dividend

Hotung 3Q results indicate as usual, the dividend NT0.31 will be given.
It has a pattern of price rising from 15 cents in late Jan/Early Feb before reaching 16+ cents in around March when dividend is announced.

Look at the chart below:

4th Q actions: Oct 2014-Dec 2014


1)Hotung Group has invested in Enterex since September 2013 to assist Enterex in stock diversification to conform to the relevant regulations of Taiwan Stock Exchange Corporation (“TWSE”). The 2013 consolidated audited sales revenues of Enterex reached NT$4.3 billion (US$143 million), which was a 15% growth year-on-year. Enterex has been approved by TWSE and plans to debuton TWSE on the 16th of October 2014.


2)Hotung Group has invested in SynCore since March 2013. SynCore has been approved by Taiwan GreTai Securities Market (“GTSM”) and plans to debut on GTSM on the 28th of October 2014.


Hope this 2 are significant contributor to the profit

The dividend yield is v decent though at 8.4% currently. I doubt the final div will be higher than last two years (1.29 sgd cts) because the 9M result is flattish.

Share is not well recognised by the market despite having been listed since 1997.
It’s been 17 years!

I used to own this and sold it and have forgotten about it.

I expect this year dividend will be more.. why? becos Taiwan currency appreciated against sing dollars.

If u look at 3Q2014 results. 2014 Sept: Exchange rate S$1 = NT 23.90, 2013 Dec: S$1 = NT 23.58


But the latest Sing dollar has depreciated due to MAS easing policy. Latest exchange rate:



So it means Taiwanese dollar has strengthened against sing dollars as MAS adopt an easing policy lately and Hotung earning is in taiwan dollars, so translate to higher sing dollars.

Hope I am correct .. keeping fingers crossed

results shd be out in exactly 2 weeks time, ie: 27 Feb. Price should hit 15.6-15.8 cents on 27 feb. Once results out and dividend declared is at least 1.29 cents, then it will hit 16.x cents. It will then peak again in around May, the day before .

dividend around 1.11 cents. lower than last year so this year peak will not be as high as 16.4 cents last year.

Last year same thing happened. After results announced, price dropped but climb slowly to peak before



Last year 26 Feb results announced, price drop but then slowly climb up to around 16.4 cents, which was around the initial price of 15 cents + 1.29 cents dividend.