I own 230,000 shares of Cosco Shipping at an average cost of $10.23 HKD. My total investment is HK $2,247,000 (SGD 381,000).
This stock paid the following dividend during the past year:
Announced 22 Aug 22: RMB 2.01
Announced 23 Mar 23: RMB 1.30
Total RMB 3.4 (HKD 3.87).
The current price is $9.77. The total dividend of $3.87 represents a yield of 39.6%.
The shipping business had a good year in 2022. However, the business can be volatile and there is overcapacity in some years, leading to low profits.
I read that the shipping business in 2023 is expected to be weak, due to the global economic slowdown.
However, even if the profit drop by 75%, the return of 10% can still be quite attractive.
Tan Kin Lian