9 stocks with momentum at Bursa Malaysia's

Highlighted 19 stocks with momentum at Bursa Malaysia's afternoon close today. One stock showed positive momentum while 18 stocks displayed negative momentum.

The stock with positive momentum was:

Ralco Corp Bhd – up 21 sen at RM1.13

The stocks with negative momentum were:

Bertam Alliance Bhd – up two sen at 16 sen

Cabnet Holdings Bhd – up one sen at 25 sen

Chin Hin Group Property Bhd – up two sen at 88 sen

Cuscapi Bhd – up four sen at 25 sen

Eastland Equity Bhd – up one sen at 14 sen

Fima Corp Bhd – unchanged at RM1.78

Key Asic Bhd – up half a sen at 11 sen

Kia Lim Bhd – up 1.5 sen at 37 sen

KYM Holdings Bhd – up half a sen at 40 sen

Malaysia Smelting Corp Bhd – up 24 sen at RM2.73

Pelikan International Corp Bhd – up 1.5 sen at 38 sen

Pelangi Publishing Group Bhd – up half a sen at 39 sen

Puncak Niaga Holdings Bhd – up three sen at 41 sen

Sapura Industrial Bhd – up 13 sen at 99 sen

Sarawak Cable Bhd – up four sen at 48.5 sen

Scope Industries Bhd – up 1.5 sen at 32.5 sen

Sealink International Bhd – up one sen at 18 sen

Widetech (Malaysia) Bhd – up 37 sen at RM1.62

The list of stocks with momentum is generated using a proprietary mathematical algorithm highlighting stocks with a build-up in trading volume and price. The algorithm differentiates between stocks that exhibit positive (+ve) momentum and negative (-ve) momentum.

This list is not a buy or sell recommendation. It merely tells you which stocks are seeing higher than normal volume and price movements.

The share price may move up or down from this point. But the "+ve" (suggesting a rising price trend on volume) and "-ve" (suggesting a falling price trend on volume) indicators should give readers a better idea of what the market is buying and when to sell. Note also that momentum generally only persists for a short period of time.

However, each stock has an accompanying fundamental score and valuation score to help readers evaluate the attractiveness of the stocks, if they want to ride the momentum.

Bursa Malaysia Securities Bhd has queried Grand Hoover Bhd due to the sharp rise in the price and volume of shares recently.

At 4.06pm, it was up 40 sen to RM1.76. There were 1.91 million shares done at prices ranging from RM1.47 to RM1.76.

Shares of the property development company had surged from 76 sen on Feb 2.

The regulator advised investors to take note of the company’s reply to the unusual market activity query which will be posted at Bursa Malaysia’s website when making their investment decision.

It directed the company to enquire with its directors, major shareholders and such other relevant persons whether there is any corporate development relating to your group’s business and affairs that has not been previously announced that may account for the trading activity including those in the stage of negotiation/discussion.

It also queried the company whether there was any rumour or report concerning the business and affairs of the group that may account for the trading activity.

KLCI gives up most gains as glove makers retreat

The main index at Bursa Malaysia gave up some of its gains at the midday break today, as glove makers dominated the losers' list.

At 12.30pm, the FBM KLCI was up 1.96 points to 1,580.59. The index had earlier risen to a high of 1,586.06.

Gainers led losers by 463 to 306, while 716 counters traded unchanged. Trading volume was 4.16 billion shares valued at RM2.36 billion.

The gainers included Nestle (Malaysia) Bhd, Tasco Bhd, Seni Jaya Corp Bhd, Press Metal Aluminium Holdings Bhd, Woodlandor Holdings Bhd, Knusford Bhd, Sarawak Consolidated Industries Bhd, Telekom Malaysia Bhd and Techbond Group Bhd.

The actively trade stocks included Dagang NeXchange Bhd, Luster Industries Bhd, Trive Property Group Bhd, AT Systematization Bhd, Pasukhas Group Bhd, HB Global Ltd, Yong Tai Bhd and Sanichi Technology Bhd.

The decliners included Hartalega Holdings Bhd, Supermax Corp Bhd, KESM Industries Bhd, Top Glove Corp Bhd, See Hup Consolidated Bhd, Amtel Holdings Bhd, Genetec Technology Bhd and Kosssan Rubber Industries Bhd.

Reuters said Asian shares hovered near record highs today while oil edged closer to US$60 a barrel on hopes a US$1.9 trillion Covid-19 aid package will be passed by US lawmakers as soon as this month just as coronavirus vaccines are being rolled out globally.

MSCI's broadest index of Asia-Pacific shares outside Japan was last up 0.3% at 717.2 after climbing as high as 730.16 late last month, it said.

Hong Leong IB Research said tracking the rally on Wall Street and the allowance of all economic sectors to open (with tightening standard operating procedures) coupled with the road map of Malaysia's National Immunisation Plan, KLCI could still retest the stiff 1,600 psychological barrier in this Chinese New Year holiday-shortened week.

"However, further gains are likely to be capped amid elevated Covid-19 infections and the start of the February reporting season.

"Given the potential for volatility, a balanced portfolio remains appropriate.

"Hence, we would adopt a more balanced approach in our top picks with a combination of recovery plays, volatility, defensives, value and sold down pandemic beneficiaries," it said.

Parlo: Business not affected by the Myanmar coup

Parlo Bhd, a tourism management and service company, pointed out that the global migration service business is not affected by the Myanmar coup.

Executive Director Zheng Liansheng pointed out that as the situation remains stable and calm, there is no sign that the government's migration policy will change, and the company's business remains as usual.

In October last year, the company signed a final agreement with Myanmar Diamond Palace Group of Companies Ltd to provide tourism, ground handling, dormitories and medical inspections for migrant workers departing and returning from Myanmar.

Since the coup d'etat was launched on February 1, Myanmar is currently under the control of the military and is in a state of emergency.

Zheng Liansheng said in a statement today: "Nevertheless, we believe that migrant workers, who are often the only breadwinner of the family, will continue to work abroad and continue to take care of their families."

At the same time, Diamond Palace Chairman Datuk Thein Than assured that migrant workers working outside Myanmar and those planning to work overseas will not be affected by the current situation in the country.

"They have made great contributions to Myanmar through foreign exchange remittances."

He added: "At the micro level, this has a positive effect on the health care, entrepreneurship, education and overall economic development of the recipient family."

High Court To Deliver Verdict On Isa Samad's RM3m Graft Case On Wednesday

 KUALA LUMPUR (Feb 1): Former Felda chairman Tan Sri Mohd Isa Abdul Samad will know his fate on nine corruption charges involving RM3 million over the agency’s purchase of Merdeka Palace Hotel & Suites (MPHS) in Kuching, Sarawak,  this Wednesday (Feb 3).

High Court Judge Mohd Nazlan Mohd Ghazali will decide whether Mohd Isa, 71, who is also former Negeri Sembilan Menteri Besar  is guilty of the offence or not.

According to the court cause list, Justice Mohd Nazlan is expected to deliver his ruling at 9.30 am.

Mohd Isa was charged with nine counts of dishonestly receiving gratification for himself, in cash totalling RM3,090,000  from Ikhwan Zaidel, who is a board member of  Gegasan Abadi Properties Sdn Bhd (GAPSB), through his former special political officer Muhammad Zahid Md Arip, as gratification for helping to approve the purchase of the hotel by Felda Investment Corporation Sdn Bhd (FICSB) for RM160 million.

All the offences were allegedly committed at Level 49, Menara Felda, Platinum Park, No. 11, Persiaran KLCC near here  between July 21, 2014, and Dec 11, 2015. 

The charges were  framed under Section 16(a)(A) of the Malaysian Anti-Corruption Commission (MACC)  Act 2009, punishable under Section 24(1) of the same law, which provides a jail term of not exceeding 20 years and a fine of at least five times the bribe amount, or RM10,000, whichever is higher, upon conviction.

Hearing of the case began on Oct 8, 2019 with the prosecution calling 22 witnesses, including former Felda director-general Datuk Hanapi Suhada, former chief executive officer of FICSB Mohd Zaid Abdul Jalil,  Ikhwan and Muhammad Zahid.

On June 16 2020, Justice  Mohd Nazlan ordered Mohd Isa to enter his defence on nine corruption charges after finding the prosecution having successfully adduced  credible evidence proving each and every essential ingredient of the offence of  accepting gratification under Section 16 (a) (A) of the MACC Act.

The judge however discharged and acquitted Mohd Isa on one criminal breach of trust (CBT) charge over the hotel purchase for RM160 million without the approval of the Felda Board of Directors after finding that the prosecution had failed to prove prima facie case against him.

Mohd Isa  chose to give his sworn statement from the witness stand and his defence proceedings were held on Aug  17 last year.

In his testimony, Mohd Isa denied receiving RM3 million, in nine transactions, from  Muhammad Zahid, over the purchase MPHS in 2014.

“I never instructed Zahid (Muhammad Zahid) to ask Haji Ikhwan (Ikhwan Zaidel) to reward  me for helping to approve the purchase of MPHS,” he said.

On Sept 3 last year, the defence closed its case after calling six witnesses, including Mohd Isa’s former secretary, Zuraida Ariffin @ Shaari and former Special Officer, Kamar Bashah Shariff, with Mohd Isa called as the first witness.

On 24 Dec last year, during submissions at the end of the defence, counsel Datuk Salehuddin Saidin, representing Mohd Isa, said that the RM3 million was for Muhammad Zahid and his cronies and not for his client.

Deputy Public Prosecutor Afzainizam Abdul Aziz  argued that Zuraida's testimony showed that Muhammad Zahid had the freedom to enter Mohd Isa's room without anybody’s permission and his presence in the accused's room were also not recorded by Zuraida.

"This is enough to prove that Muhammad Zahid has easy access to the accused's room, and he could have easily entered the accused’s room to handover the money from Ikhwan as what he had testified. This clearly shows that  Zuraida did not see Muhammad Zahid handing over the money to the accused,"  he said.

Glove Makers Stand Out As Market Sees Over 800 Counters In The Red

KUALA LUMPUR: Glove makers stood out on Friday, notching some solid gains as investors viewed them as fundamentally strong to deliver impressive earnings with the Top Glove Corp Bhd seeing strong trading interest.

Whether the buying was solely by retail buyers inspired by “bursabets” -- a new subreddit on social news aggregator site Reddit -- is unclear due to the lack of data at market close.

However, comments on bursabets prompted the Minority Shareholders Watch Group (MSWG) to advise retail investors to exercise caution in their dealing of stocks, especially due to recent calls in social media to shore up the share price of certain stocks.

Top Glove jumped to an early high of RM7.12. It closed up 53 sen to RM6.74. It was very actively traded with 161.62 million shares done at prices ranging from RM6.56 to RM7.12.

Hartalega Holdings Bhd rose to a high of RM13.42, before closing at RM12.86, up 66 sen. There were 14.66 million shares done at prices ranging from RM12.32 to RM13.42.

Supermax Corporation Bhd climbed to a high of RM7.16. It ended the day up 24 sen to RM6.80. There were 45.22 million shares transacted between RM6.61 and RM7.16.

However, the gains by the three stocks were unable to offset the weaker FBM KLCI as investors locked in profit ahead of the long weekend, volatile Wall Street and it being month end.

The 30-stock KLCI closed down 14.22 points or 0.9% to 1,566.40. Turnover was 6.53 billion shares valued at RM6.32bil. Decliners beat advancers 869 to 367 while there were 384 counters unchanged.

Kossan rose 19 sen to RM4.45. There were 14.42 million shares done at prices ranging from RM4.30 and RM4.59.

Remisiers said glove stocks were expected to continue to delivery strong earnings growth due to the surge in demand caused by the Covid-19 pandemic.

“These stocks have fundamentals and we expect super normal earnings to continue this year,” said a remisier.

“But I’m unsure if it is driven solely by social media.”

On Jan 4, glove makers were among the stocks hit by shortselling by large institutional players when the regulated shortselling activities were given the go-ahead to resume. However, the stocks had recovered by Jan 8 as the shortsellers had to buy back the shares.

On Thursday, bursabets, a copycat of the controversial US-based "WallStreetBets", has called upon retail traders in a new post to help shore up the share prices of Malaysian glove manufacturers.

It aims to replicate GameStop’s feat on Bursa, alleging trading in the local glove sector has been manipulated by large institutions, which have undervalued the stocks for their own profit.

However, MSWG advised minority shareholders to exercise diligence and be aware of the risks involved in such initiatives.

“Generally, institutional investors tend to have deeper pockets. This is not to underestimate the retailers purchasing power. At the end of the day, it may become an issue of who has deeper pockets and the stamina to sustain their initiatives.

“Secondly, there may be some unscrupulous retailers including ‘stockmarket gurus’ who may unload their shares after having encouraged other retailers to drive up the share prices.

“The Securities Commission has constantly warned members of the public against dealing with unlicensed investment advisers as they could be defrauded or used as part of a market manipulation scheme.

“Eventually, such action by both parties in trying to counter each other will create volatility in the share prices and this may be a risk to the short-term investors,” MSWG said.

Top Glove to vaccinate all staff once Covid-19 vaccine made available

Top Glove Corporation Bhd has pledged to vaccinate all its staff, including foreign workers, once the COVID-19 vaccine is made available.

Executive chairman Tan Sri Dr Lim Wee Chai said this is to ensure uninterrupted production for the long-run besides making sure the good physical and mental health of its employees in order to achieve good financial health of the company.

"We are still waiting for the vaccine from the government and we will be more than happy to get our staff vaccinated as we have over 21,000 employees at 47 factories and 750 production lines as at December 2020,” he said in a virtual courtesy call with High Commissioner of Bangladesh Golam Sarwar and Labour Counsellor of Nepal Embassy Deepak Dhakal, today.

Lim said to enhance the foreign workers' welfare, the company has continuously invested in better accommodation at its facilities in Selangor, Perak, Kedah, Negeri Sembilan, Kelantan, and Johor for its mid-term plan with a capital expenditure of RM195 million.

"We are building and purchasing new workers’ hostels, fully equipped with facilities and amenities that are expected to be completed by 2023,” he said.

Besides that, he said the company is targeting to become a Fortune Global 500 company by 2030 with its growth to be 10 times bigger, achieving US$30 billion sales revenue and scaling up to 150 factories with 100,000 employees.

"This long-term plan could be achieved through technology and innovation, research and development, as well as artificial and human intelligence, supported by 10,000 global talents, researchers and young university graduates,” he added.

Meanwhile, Sarwar hopes Top Glove would continue to ensure the health and wellbeing of its employees, particularly foreign workers, and ensure that they are protected and vaccinated, especially during the unprecedented time of COVID-19 pandemic.

Top Glove’s net profit surged over 20 times to RM2.38 billion in the first quarter of financial year 2021 ended Nov 30, 2020 (Q1FY21) from RM111.43 million in Q1FY20.

The glove giant was previously embroiled in issues relating to workers’ wellbeing and non-compliance with the Workers' Minimum Standards of Housing and Amenities Act 1990 (Act 446).

The company also made headlines after it became Malaysia’s biggest COVID-19 cluster, the Teratai Cluster.

At 3 pm, shares of Top Glove rose 0.45 per cent to RM6.67. - Bernama

How to Build a Stock Portfolio that Pays Increasing Dividends

Value investing is thought of as trying to put a precise value on the low-priced securities of possibly mundane companies and buying if their price is lower. And growth investing is thought of as buying on the basis of blue-sky estimates regarding the potential of highly promising companies and paying high valuations as the price of their potential. 

Rather than being defined as one side of this artificial dichotomy, value investing should instead consist of buying whatever represents a better value proposition, taking all factors into account. All else being equal, favor companies in which management has a significant personal investment over companies run by people that benefit only from their salaries

This explains why you should not invest in stocks or properties by solely looking at prices alone. It would help if you looked into value to make better decisions in investing. 

The value of money relatively differs depending on where, when and how you measure it. It boils down to the following question to somewhat determine the value of money.

Where is your money?

Where do you earn and spend your money?

When do you earn and spend your money?

How do you earn and spend your money?

All your Questions Answered at Felix Consulting 

KLCI rebounds, enroute to ending losing streak

The FBM KLCI made a rebound on Wedneday after yesterday's rally fizzled to end on a negative note for the eighth straight session.

At 12.30pm, the key index had added 12.57 points to 1,587.88, still firmly below the 1,600-point psychological resistance.

However, there is expectation of an advance in certain sectors moving forward, says Malacca Securities Research.

"Based on some corporate earnings results announced yesterday. we expect plantation and consumer electronics stocks to perform well in the near term.

"Also, market players will be watching out for the technology sector as they performed a swift recovery after the selldown," it said.

Heavyweights seeing positive price action included Axiata rising 17 sen to RM3.42, Maybank up 10 sen to RM7.92, Tenaga Nasional gaining 14 sen to RM9.84 and Petronas Chemicals rising 10 sen to RM6.85.

It offset profit-taking in Hartalega, falling 22 sen to RM12.22, Supermax shedding 15 sen to RM6.50 and Top Glove dropping one sen to RM6.19

Top actives on the broader market were MPI up 56 sen to RM32.96, Carlsberg adding 52 sen to RM21.72 and KESM climbing 50 sne to RM16.50.

Asian markets were generally cautious on Wednesday ahead of the US Federal Reserve's monetary policy decision.

Japan's Nikkei was up 0.25% while China's composite index was mostly flat.

SOuth Korea's Kospi was down 0.2% and Hong Kong's Hang Seng rose 0.2%. Australia's ASX200 fell 0.7%.

Appeal allowed against Taman Rimba Kiara Development project

 PUTRAJAYA (Jan 27): The Court of Appeal today allowed an appeal brought by the residents association of Taman Tun Dr Ismail against the government’s plan to develop the Taman Rimba Kiara (TRK).

Court of Appeal Judge Datuk Mary Lim Thiam Suan deemed the High Court's dismissal of their judicial review to challenge the approval for the development at TRK an appealable error which calls for the intervention of the appellate court.

“This is an appealable error that warrants and appellate intervention,” she said.

In doing so, she set aside the High Court’s decision on Nov 28, 2018 which dismissed the residents’ bid to stop the proposed mixed development project in Taman Rimba Kiara.

The other members of the three-judge bench are Datuk Has Zanah Mehat and S Nantha Balan.

In 2014, Yayasan Wilayah Persekutuan (YWP) entered into a joint venture with Memang Perkasa Sdn Bhd, a subsidiary of Malton Bhd to develop a 25-acre site at TRK. TTDI residents had protested against the proposed eight blocks of high-end serviced apartments and one block of affordable housing apartments which had gained conditional planning permission and development order by DBKL.

Following protests by TTDI residents, the then federal territories minister Khalid Samad had proposed a scaled-down development plan to
four blocks of serviced apartments and 204 affordable housing units.

KLCI Tumbles 20 Points Lower; Over 1,100 Stocks In Red

 KUALA LUMPUR: Bursa Malaysia sank into the red at closing with over 1,100 counters falling as heavy selling continued to bash down blue chips and small-cap stocks.

The FBM KLCI closed 20.12 points, or 1.26% lower at 1,576.62. The index opened 3.80 points higher at 1,600.54 this morning.

Market breadth turned negative as losers hammered gainers on a ratio of 1,119-to-231 stocks. Traded volumes stood at 7.48 billion shares worth RM5.16bil.

Dealers noted that investors turned more cautious in the afternoon trading session. They added that the overall sentiment appeared weak amid worries of potential stricter lockdowns as high daily Covid-19 cases.

Adding to the downbeat note, foreign funds are back in selling mode.

Foreign funds turned net sellers last week with net outflow of RM288.13mil against a net buying of RM326.06mil in the preceding week.

The performance of FBM KLCI bucked the trend of regional peers. China’s blue-chip CSI300 index rose 1% to 5,625.92, while the Shanghai Composite Index added 0.5% to 3,624.24.

Hong Kong’s Hang Seng index closed 2.4% firmer at 30,159.01, while the China Enterprises Index also gained 2.4% to 11,960.49.

South Korea’s Kospi index rose 2.18%, to 3,208.99 while Japan’s Nikkei 225 advanced 0.67% at 28.822.29.

Twenty-five of the 30 KLCI-linked counters were in the red with oil and gas stocks among the most negatively impacted.

Petronas Chemicals tumbled 45 sen to RM6.90, Dialog closed 23 sen lower to RM3.03 and Petronas Gas fell 34 sen to RM16.22.

Glove manufacturers are the major stock advancers among the component stocks. Hartalega jumped 68 sen to RM13, Supermax rose 47 sen to RM7 and Top Glove rose 27 sen to RM6.52.

Among the banks, Public Bank tumbled 36 sen to RM21.30, Maybank declined 12 sen to RM7.88, CIMB shed 14 sen to RM3.84, Hong Leong Bank fell 32 sen and RHB closed 11 sen lower at RM5.23.

Meanwhile, the ringgit was quoted at 4.0455, down 0.05% against the US dollar.

Petronas Chemicals, Top Glove down as ringgit strengthens

 Petronas Chemicals Group Bhd, Top Glove Corp Bhd and Supermax Corp Bhd settled lower at Bursa Malaysia’s afternoon break today as a strengthening ringgit against the US dollar led to expectation that export-based companies' US dollar-based revenue will be less in ringgit terms.

At 12:30pm today, Top Glove’s share price fell eight sen or 1.3% to RM6.06, Supermax settled down 10 sen or 1.58% at RM6.21 while Petronas Chemicals dropped 18 sen or 2.39% to RM7.36.

At a glance, these FBM KLCI constituents were among KLCI stocks which had a profound impact on the 30-stock index's trading dynamics earlier today when the gauge fell below 1,600 points.

At 12:30pm, the KLCI settled down 3.37 points or 0.21% at 1,598.17 after rising to its highest so far today at 1,615.22.

In currency markets, the ringgit appreciated to its strongest point against the US dollar so far today at 4.0295 after the exchange rate closed at 4.0435 yesterday.

Today, the exchange rate was between 4.0295 and 4.0430.

The ringgit’s strengthening today was seen to be broad-based against global currencies after Bank Negara Malaysia’s Monetary Policy Committee decided yesterday to maintain the overnight policy rate at 1.75%,

Compared to the Singapore dollar today, the ringgit strengthened to 3.0465 at the time of writing.

Against the euro, the ringgit appreciated to 4.8923.

The ringgit’s strengthening today was seen to be broad-based against global currencies after Bank Negara Malaysia’s Monetary Policy Committee decided yesterday to maintain the overnight policy rate at 1.75%,

Compared to the Singapore dollar today, the ringgit strengthened to 3.0465 at the time of writing.

Against the euro, the ringgit appreciated to 4.8923.

The ringgit strengthened against a weaker US dollar. It was reported that the US dollar declined versus major peers on Thursday as optimism that the new US administration's massive stimulus package will bolster growth sapped demand for safe-haven currencies.

It was reported that riskier commodity currencies were supported as Asian stocks followed US equities in rising to new records after Joe Biden, who has laid out plans for a US$1.9 trillion pandemic relief package, was sworn in as president.

"Risk sentiment is quite positive right now and we expect it to remain so this year, with growth expected to rebound quite strongly,” Reuters quoted Shinichiro Kadota, senior currency strategist at Barclays Capital in Tokyo, as saying.

Ageson appoints BASB as main contractor in mixed development project

 Plywood product maker Cymao Holdings Bhd’s wholly-owned subsidiary, Billion Apex Sdn Bhd (BASB) has received an offer from Ageson Bhd’s unit, Ageson Development Sdn Bhd to be the main contractor in a proposed mixed development project.

BASB will undertake main building and infrastructure works in the project located in Penang.

The parties today entered into a Memorandum of Understanding (MoU) in relation to the appointment of BASB, which marks Cymao’s maiden foray into the construction space.

In a filing with Bursa Malaysia today, the company said it would be seeking shareholders’ approval for the proposed diversification of the principal activities of the group to include construction, project management and related activities at an extraordinary general meeting on Feb 9.

Upon obtaining the shareholders’ approval, the company will enter into a definitive contract in relation to the appointment of BASB as the main contractor to undertake main construction works of the proposed development, with a contract value of RM120 million.

In a separate announcement, Ageson said the MoU demonstrates the board’s initiative in pursuing continued growth in its property development business.

It said the proposed project involved development of a building block comprising 79 units of service apartments, 138-room hotel and one-storey basement car park. - Bernama