It’s always intriguing to see how much our money would have grown had we held on to strong businesses over a long period.
This exercise gives us an indication of a stock’s financial strength and consistency.
It can also tell us if a business can weather recessions and yet deliver.
Investors in Singapore Technologies Engineering Ltd (SGX: S63), or STE, may wonder if the blue-chip engineering giant has delivered a good return if held for more than a decade.
At the same time, we also assess if the group can continue to perform well based on its current prospects.
A dividend stalwart
STE went public 25 years ago in December 1997 and has been a component of the Straits Times Index (SGX: ^STI) ever since.
Temasek Holdings, a Singapore investment firm, holds a 51.69% stake in the engineering group as of 28 February this year.
Assuming you invested S$10,000 in STE back in July 2010, you would receive around 3,000 shares of the group....