Today Transpacific Industries (TPI.AX) pays it final dividend
for the year.
Unfortunately the dividend payment per share is very small
at 0.8c a share and is down from the payment this time last year at 1.5c a
share.
As I only hold a very seem parcel of TPI shares (470) the
total dividend payment was $3.76.
Not only this Transpacific shares have been one of my worst
investments as they are down over 80% from the purchase price I paid. Some shareholders
are doing even worse as the stock was trading over $10 a share at the height of
the market before the GFC. At one point TPI was the hottest stock and was being
recommended by all the major brokers as a strong buy.
Transpacific is currently trading at 0.685c a share and
looking through their recent annual report the financial performance of the company
doesn’t really seem to be improving. Due to the very low value of my Transpacific
investment I haven’t sold my shares and plan just to leave them sit in the hope
over a long time the company will succeed with its turnaround strategy.
Luckily the bad investment in Transpacific has taught me to
be far more risk adverse and to ignore the hottest stocks and what all the brokers
are recommending and instead to purchase quality companies that have sound financials.
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