1H 2026 (Up to 26 June) Portfolio Returns - 32.50%

 

Since the returns are good i'm gonna put idols picture in front first.

(Since 26 June was a down day, it was a good day to talk about returns because there is every chance its gonna go lower)

Q1 was 5.02%. So Q2 (Up till 26 June) was around 27.48%.

Q2 Review 

Positives

-32.50% is higher than HSI Returns and STI Returns

-Engro starting to show some positive single digit gains. I still think 2027 might be the supernormal returns.

-Chuan Holdings AGM is positive. I feel positive holding it despite it being down 20%. Although any additions will depend on future contract wins and the overall portfolio allocations. My AGM Writeup can be found here. If 1H 2026 Results does not result in a dividend declared as oil prices has retraced in recent 2 months, i hope next year would finally see its maiden dividends declared. My current view is that 1H 26 will be better than 1H 25 but lower than 2H 25.

-XMH Results is alright. 37.5% increase in dividend as profit increased 24.9%. I think eyes will be on the orderbook that it will reveal in the annual report as well as the AGM.

Negatives

-SG Stock Returns Still Languishing and lack STI and Banks

-Infinity Development Results Below Expectations , Nam Lee Acceptable but not great

-New Positions going nowhere (Hong Leong Asia down 17%, XMH and Serial System headless chicken)

-Certain Positions remain Illiquid e.g Hor Kew and Chuan Holdings

-Hor Kew 1H 26 likely remains muted due to 1H 25 being high watermark in terms of gross profit margin

-Despite 1H 2026 is likely a record result for Solis Holding, i have cut all position after a very poor agm where i was the only retail shareholder present and i was told that i was asking too much qns and taking too much time when its only 25 minutes into the agm.

Takeaways

Basically most of the returns came from AV Concept and within the span of 19 days. 

I was reading up on news of japan semiconductor distributor Tomen Devices raising their guidance. It made me remember about AV Concept which operates in a similar field but in a different region. I pulled up my previous notes, updated it and decided to buy after doing my homework again.

I feel much better after this gain, its a huge stone off my back really.

I don't know if i mentioned this before but i feel like i lucked out last year with Dream International. 

So for me to get in with another multi bagger this year makes me feel good mentally.

In its recently announced results on 26 June, the margins are strong and the outlook mentioned is good. I still think that the following quarters are strong but whether the market likes the result (due to the low dividend) would remain to be seen.

I have rechanneled the positions into Yeebo , Smart-Core and Sas Dragon. The former 2 i have mentioned before in my post on the volatile semiconductor distributors.

(Current Holdings which may change at any time)

Yeebo (Hkex: 259) remains a value stock (or value trap) trading at 0.3 of its 'true' book value. As it holds shares of Meta X and Nantong Jianghai. Nantong Jianghai engages in the production of capacitators and has seen a share price rally of 268% YTD.

On the contrary, Yeebo has seen a YTD share price appreciation of 13%

The interesting thing is that it has 100,431,932 shares of Nantong Jianghai. 

Current Market cap is 3921 million HKD. 100,431,932 shares of Nantong Jianghai is worth 12630 million HKD. Or about $13.20 per share.

Of course, Nantong Jianghai can be 'overpriced' due to the AI supply chain hype but it would need Nantong Jianghai to drop more than 60% to be of equal value as current share price of Yeebo.

Any upside in share price will be the management's decision to divest shares. Having divested earlier this year at $30, i am not sure why they would not think about it again at $100.

It is worth nothing that all along there is a discount that exist for this company. Just that this year the discount has widened and is now at 0.3 book value.

Apart from that, its main business of doing Token As A Service and GPU Racks / Algorithm related AI Service remains to be monitored. I believe more details will be revealed when they announce results on 30 June 2026.

The results this time around should reflect the valuation increase in Meta-X but not Nantong Jianghai as the share price increase came after March 2026.

If Jianghai Share Price continues to hold while Yeebo's share price continues to fall, i will be keen to add more. That is assuming that there is no major negatives from its results release on 30 June 2026.

I am not going to talk about the investing prowess of Yeebo in getting into Nantong Jianghai and Meta-X very early or their ability to spot such companies and how this should be valued because they literally sold shares of the company at $30 this year and in HKEX no one really cares about giving valuations to such ability.

As for Singapore Market, i still think short term Serial System and Hong Leong Asia should be alright. Lets see if i am correct when results release in August.

In terms of overall portfolio planning this year, i think there is a lot of things to think about after the enlarged capital base moving into this year. Both mentally and also on a portfolio construction level.

But at the end of the day, i believe these are hurdles that i have to get through to be able to improve.

Time for a k-pop photo spam from my recent trips

At the start of the year i was thinking 10% returns would have been decent enough already because thats already more than 2 years of my annual salary.

Naturally my allocations would be different from last year which is a 'yea i think this is my highest conviction so it deserves a 60-70% allocation since the base isn't high'

Even though my conviction level is decent , it has never crossed my mind i should put 60-70% in any position this year and go for the 'Generational Wealth Thinking Mindset'

1 Reason is because other positions are also companies that are undervalued by my research, and some being illquid would mean i have to divest at maybe another 5-10% loss in exchange to enlarge a stake in a current conviction just to attain 'Generational Wealth'. Idk if it makes sense at current levels especially when it would leave me tough to average down further.

But of course if a position drop too much while fundamentally still attractive, i might have to average and it might result in a similar situation as last year where 1 position is 60-70% of the portfolio, just that as of current point i am not doing it yet.

I think this is mental part of allocation and investing that i have to get through and hopefully i can master it and strive for better returns.

If you read till here, currently these 3 stocks are stocks i have took a glance recently.

Value Partners (Hkex: 806) - 1H 2026 should see a profit warning as last year 1H 25 earnings is boosted by gold etf holdings but gold returns this year is muted. Operationally, AUM growth is seen and their flagship funds are performing well, if they continue to perform well, likely to see record management fee and also a boost in performance fees. One to keep an eye on after 1H 26.

EVA Precision Industrial Holdings (Hkex 838) - Precision Industry Company. Well below book value, company that is seeing increased orders in the data centre field and also robotic parts field. Has a vietnam plant up ramp incoming. Negatives is that its current fields of Office Printing and Automobile is not performing well this year in China.

Apex Ace (Hkex: 6036) - Storage Distribution Company. Largely Improved Revenue / Gross Profit in 2H 25 should see a higher improvement in 1H 26 . Related to Gigadevice, Kingston and CXMT Memory Products Distribution. Problem is that i was unable to find the company on Kingston Authorised Distributors List. On the flipside, the non controlling interest of one of the companies they owned used to work in Kingston.

Full Divestment of Infinity Development Holdings

I usually don't talk about portfolio movements of a specific company. But i feel that i should for this company since i talked about this company last year in Sept 2025.

Given that the price was 2.44 last year at Sept and now its 2.49 after 2 rounds of dividend, i would say things have been relatively stable in terms of capital gains and after factoring 2 rounds of dividend totalling of 0.182.... returns stand at around 9.5%. Not bad...

But definitely not great considering how other major stocks like DBS and STI index have at least double digit returns.

I think i have given this company many chances the past 9 to 10 months. I will list the reasons that together led to a decision to divest.

Before listing the reasons, i will still say that there is still a chance the company can pass cost effectively but at least from how i see it and the lack of information present....its hard for me to believe it could.

1. Poor Q&A at AGM.

This was the questions i sent and asked for the AGM. Unfortunately i think Q1 / Q4 / Q5 /Q6 is not answered. Where as their answer for Q3 is just a brief description of the production volume.

Q2 was well answered.

Overall, i think it was not insightful.

2. Investor Relations and Corporate Finance Team they found for the SGX Listing is not responsive.

There was factory visits but apart from that the corporate finance team does not reply to any emails and the investor relations from the company side is dead even though at the AGM , retail shareholders were told that if they have queries they can email investor relations....

I just asked if there is any results presentation and i got ghosted fully. Compared to another pr company which does send invites out for results presentation....the action of ghosting probably works in the older times climate but given that 'value up' is a preposition then investor outreach should be important.

Also, i heard that there has been no engagement with analyst for the 1H Results or at least i was unable to find any updates.

3. Random Share Buyback.

After issuing shares at 2.32 HKD equivalent in sgx, the company proceeds to buyback HK Shares at 2.39 to 2.46. They did a buyback on 23 March and 30 March. Bringing the trading volume to 3.8m and 3.7m shares.

I get that it has the effect of calming the markets especially that was peak oil price and volatility was high.

It feels like helping someone to get off the train or something cause the trading volume since then has been around 50k shares to 490k shares.

I think when coupled with the lack of explanation for any meaningful purpose of a buyback at a price higher than issuing shares, it looks like poor corporate finance.

4. Oil Price Increase

Without a doubt, one of the reasons for the improvement in margins have been oil price declining resulting in cheaper prices for raw materials like methyl ethyl ketone (MEK). The price of MEK has been 7000 pre march 2026. At peak of oil price in March 2026, it rose to around 14000 and has retraced to levels of 8000 now. While the increment seems rather low, oil price has remained at elevated levels which provides a worry if they are unable to pass on the cost.

5. Guidance from Industry Leader Nanpao looks bleak

In the 1Q Results Conference, they estimated low single digit growth for their shoe adhesive business. 2Q Margins will be lower than 1Q

In terms of shoe adhesive business, they mentioned price revision once every half a year.

As such, it does look bleak.

6. Poor 1H Results from Infinity

Given that Nan Pao's 1Q 26 and Q4 26 Blended Margins is a record high, i was expecting margins to hold up even if revenue has a slight fall.

Unfortunately, its Gross Profit Margins of 36.50% is a new low seen since Oct 2023

It fell short of my expectations. I wonder if the oil price increase in March really ate so much into the margins. Especially when from Oct 25 to Feb 26, oil price is lower than previous periods such as Apr 24 to Sep 24.

7. World Cup Effect seems to not have kicked in as anticipated

It tends to do well in World Cup Years but it seems like the World Cup effect might have been muted.

Observing this from 2 source, its major customer Yue Yuen and its believed 2nd major customer Fulgent Sun.

Its worth noting that Indonesia Shoe Exports is higher in April 26 vs April 25 while lower in March 26 vs March 25 due to festive holiday effect. This could be a factor why overall revenue was slightly lower for Infinity Development which is led by lower Indonesia Revenue.

After a 6.9% growth in April 2026, momentum reversed with 6.6% negative growth in May 26

For Fulgent Sun, the similar can be seen while the decrease is on a higher %.

Given that revenue is flattish in the past 6 months from Oct 25 to Mar 26, Apr and May did not show overall good growth, June is the WC Month........it makes me think that the effect this time round might not be good.

Personal Apology

I apologise if the stock did not bring positive returns because i do receive text saying i did not huat because of infinity development and i replied i also nvr huat from it cause if i did i probably will come out a new post which is X million at Age 32.

At peak this position is probably around 40% to 50% in the portfolio.

I hope you could tell i was really convicted at some point of time and not just thinking it goes up but totally not convicted in portfolio sizing terms.

Conclusion

It still paid a good dividend this time around and only retraced revenue by 1.9% despite major customer showing negative revenue growth of around 3% and volume retracement of around 6%. The share buyback might prove to be a price floor if the share price gets tested. 

Ultimately the lack of communication, my personal worry of unable to pass cost well due to surge of oil price, the shoes export momentum not being carried by the world cup effect as well as results not up to my own expecations all contributed to this position to be removed from being a core to holding 1 lot to go AGM. 

I might be wrong in my analysis and the company does well then oh wells it happened too many times before.... but based on my analysis at current point, its a sell.

(May 2026 Results) How i would invest in the singapore stock market if i had 100k of spare money

 

May 2026 Returns: 12.11%

Year to Date Returns: 23.12%

Since Inception (9 Sept 2020) Returns: 481.08%

Trek 2000 has worked surprisingly well. Results wise, Nam Lee's result is stable while Infinity Development is slightly below expectations. 

As the Singapore's Corporate Finance Side which did the IPO does not seem to be keen to have me onboard to listen to the results presentation, it is hard for me to deduce deeper with management's views and guidance. Once again, the lack of transparency makes it tough *sighs*. I guess i will have to wait to see if there is any analyst report updates upcoming.

There will be changes to the portfolio after a very good May which allows me to take even more risk.

 

Cut on Nam Lee and Infinity Development for reasons mentioned above previously.

Trek has done its job so its going to exit. 

Serial System will be the replacement on a potential earnings play. 

Uni-Asia has the same logic with potential earnings play. Topped up on XMH for same logic.

Added some more Wee Hur.

3 Volatile Semiconductor Distributor Stocks listed in HKEX

Today is a down day so its a good time to talk about 3 volatile semiconductor distributor stocks listed in HKEX Today.

They are AV Concept (Hkex: 595) , S.A.S Dragon (Hkex: 1184) and Smart-Core Holdings (Hkex: 2166)

The reason i have labelled them as volatile is because of their recent price fluctuations in the past month.

However, it is worth looking at them as this is after all the year of the semiconductor.

1. AV Concept (Hkex: 595)

Lowest Price in the past month : 0.55

Highest Price in the past month : 2.00

Current Price: 1.19 (Up 116% from lowest and Down 40.5% from highest)

What makes AV Concept attractive?

1) It is a distributor for Samsung Semiconductor. Mainly with 2 lines of business.

Singapore Distribution: Involved in Memory Components. With its past result ending in 30 Sept 2025, it has not reflect the recent increase in memory prices from Oct 2025 to March 2026.

Meaning, the earnings potential from this multi year loss making segment is hard to estimate and it could be really good.

China Mobile Market Distribution:

A multi-year cash cow, in 1H 2025, it has performed better despite a huge decrease in revenue and drop in gross profit of 68 million, it has increased profit by 10.3 million thru better cost control and lower finance cost.

As this portion is worth $1.74 per share on the books.

This means that the company is still trading at below book value. Any potential value can come in increased dividend distribution from the joint venture or improved gross profit through pricing. 

Reading Q4 25 and Q1 26 Mobile Sales in China, it is definitely down but the company has proven to perform better in a lower revenue environment which is encouraging.

Adding to the potential turnaround in its Singapore Semiconductor Distributor Segment, it makes the profit this time around a high likely chance to be good.

The recent volatility is because folks find its association to memory segment by being a distributor of Samsung Memory.

Predicting its earnings. I think its China Mobile Market Distribution segment will perform similar so i would estimate 98m. 

For its semiconductor distribution, i anticipate around 2x of revenue and margins of 4%.

I think 12 cents of EPS is being conservative. The tough thing to estimate is its semiconductor distribution segment as this scenario is a 'first time happening' and it is difficult to use other companies to gauge as other companies have been profitable all the time.

If the distribution part booms even higher revenue and margins, any amount is possible. For example gross margin of 6% + 4x revenue will lead to EPS of 16 cents.

Why i would want to consider this company

- 'One in a life time' opportunity

- First of the 3 companies to report results 

- Has not reflect the upside of Memory Price Increase from Oct 25 to Dec 25

Why i would not want to consider this company

- Still 100% higher from lows.

- Singapore Distribution Arm Turnaround hard to estimate

- Book Value might not get its value realised and folks might trade it down if memory earnings turns out to be lower than market expected.

2. S.A.S Dragon (Hkex: 1184)

Lowest Price in the past month : 4.81

Highest Price in the past month : 6.85

Current Price: 6.05 (Up 25.7% from lowest and Down 11.6% from highest)

A top 11 Semiconductor Distributor Company, largest in HK.

Its main clients include Sharp , Foxconn , SK Hynix and Toshiba. It is also sole distributor of Sharp Products in Hong Kong.

What makes S.A.S Dragon attractive.

1. Relatively Stable EPS and Dividends.

Compared to most of its peers, EPS in the past 5 years have ranged from 64 cents to 114 cents.

Dividends have been paid in the past 5 years too. A positive increase in net asset value year on year shows its ability to stay relevant amidst semiconductor down turns in 2022,2023.

2. Large Enough to Benefit from Market Trends

Fellow Taiwan Semiconductor Distributors have recorded double digit increase in revenue in 1Q 2026.

WPG Holdings (1Q 26 Revenue up 27%)

WT Microelectronics (1Q 26 Revenue up 99%)

EDOM Technology (1Q 26 Revenue up 17%)

3. Indicated a positive trend from Q4.

It has SK Hynix as its supplier as well.

4. Hon Hai as a shareholder

While revenue contribution from Hon Hai is not huge, it is also worth noting that Hon Hai has guided for a stronger Q2 2026 compared to Q1 2026.

Q1 2026 Revenue has outperformed Q1 2025 by 29%.

Why I don't like this company

1. Revenue does not provide a breakdown to how much is memory / semiconductor / electrical components

2. Business includes Sharp and Kyocera Office Products like Printers.

Not exactly super attractive to semiconductor trends or erm the AI Trend.

3. Gross Profit Margin Falling

From its peak in 1H 2023 (7.55%) , its gross profit margin in 2H 2025 is 4.19%. It shows that the distributorship business despite keeping up with the product line, has eroding margins. To be fair, its not a blue ocean business.

Food for thought. 

2H 2025 Revenue is 42% higher than 1H 2025 and 27% higher than 2H 2024.

It also is the second highest half year revenue since 2021 2H. The fun fact is its taiwan listed distributors erm all have higher revenue in 2025 2H when compared to 2021 2H so while it has maintained its top 12 position, it has slided in rankings since 2021.

3. Smart-Core Holdings (Hkex: 2166)

Lowest Price in the past month : 2.75

Highest Price in the past month : 5.12

Current Price: 4.26 (Up 54% from lowest and Down 20% from highest)

A company that does distribution for Mediatek , Nanya , Kioxia, Yangtze Memory.

What i like about this company

1. Memory Revenue increase seen in 2H 2025 

Revenue increase from 0.553m in 1H 2025 to 1.35m in 2H 2025.

2. Guidance Given from Suppliers.

Mediatek guided for double digit revenue increase in its smart device platform

Nanya recording huge increase in revenue in 1st 4 months of 2026. Higher than Q4 2025.

Kioxia giving good 1Q 2026 guidance as well.

3. Associate (Quiksol) that does memory distribution as well. Did well in 2025.

It is a company based in Singapore that does memory distribution.

What i don't like about the company

1. Margins decline in 2H 2025

2. Shift in Dividend Policy

It was changed from 15% to 50% in 2025 and it was quickly changed back again in 2026.

Fun fact

In this interview with the Quiksol Global CEO in 2025 December, he mentioned Q4 profits is super high and distributors are all happy. Smart Core was trading at 2.03 then.

If i had to rank in terms of results potential, it would be smart core > sas dragon > av concept.

In terms of book value, i would think it is definitely av concept.

In terms of safer investment and dividend track record, i would think it is sas dragon.

In terms of earnings potential, i would think it is smart core.

If i had to make a guess for Smart-Core 1H 2026 earnings, based on current data, i believe it would be at least 40 cents which is at least 50% higher than 2H 2025 and close to 4x of 1H 2025.