TP RM 0.71 Dnex RHB's Jewels, small cap list

Dnex is on RHB's 25 Jewels, small cap list. I think it will help the stock price consolidate.

RHB IB thinks hidden gems in small cap space key to superior returns http://www.theedgemarkets.com/article/rhb-ib-thinks-hidden-gems-small-cap-space-key-superior-returns

Best small caps

1. Success Transformer Corporation Bhd
2. Kronologi Asia Bhd
3.RCE Capital Berhad
4. Unisem (M) Berhad
5. OSK Holdings Berhad

http://www.intellecpoint.com/2017/04/do-not-sell-wce-airasia-and-ekovest.html?utm_source=feedburner&utm_medium=feed&utm_campaign=Feed:+blogspot/IFWDU+(SERIOUS+investing)&m=1
Don't sell Ekovest.

http://www.thestar.com.my/business/business-news/2017/04/19/ekovest-may-gain-up-to-rm71mil-in-govt-incentive-payment/

http://www.theedgemarkets.com/article/osk-holdings-reshuffles-board-names-ong-ju-yan-md-0

This article first appeared in The Edge Financial Daily, on April 3, 2017.


KUALA LUMPUR: Cloud storage security service provider Kronologi Asia Bhd is confident its newly acquired wholly-owned unit Quantum Storage (India) Pte Ltd (QSI) will be able to report annual earnings above the promised US$1 million (RM4.42 million) mark.

Its future profitability would be driven by the award of more smart city jobs from the Indian government, Kronologi’s acting chief executive Philip Teo Chong Meng told The Edge Financial Daily in an interview.

“QSI won eight smart city surveillance projects last year, and the Indian government has allocated 980 billion rupee (RM67 billion) to develop 100 smart cities. There are 92 more to tender for and we already have the first eight as our proven track record, so we are quite confident,” he said.

The smart city contract awarded to QSI is worth US$1 million for the provision of surveillance infrastructure and maintenance services. The contract tenure, on project basis, is estimated to be completed in six months.

Teo said the contract was awarded before Kronologi completed its acquisition of QSI in October last year, hence the group is not required to make any announcement for the deal.

Kronologi only held 20% in QSI before the RM26 million acquisition, which was funded via a combination of RM15.2 million cash and RM10.8 million worth of new shares.

The vendor of the 80% stake in QSI was Quantum Storage (India) Ltd (QSIL), which is wholly-owned by one Tay Nam Hiong.

Under the sale and purchase agreement, QSIL will provide profit warranty of US$1 million for the financial year 2016 (FY16) and FY17 of QSI.

In FY15, QSI posted a net profit of US$404,000, over four times the US$99,000 it recorded in FY14.

“QSI was only founded in August 2012. Businesses like this require higher capital investment in the beginning, but the earnings will then kick in higher and higher,” he said, but declined to reveal QSI’s FY16 financial results.

For FY16, Kronologi’s net profit more than doubled to RM7.43 million from RM3.05 million in FY15, while revenue leapt 32% to RM81.28 million from RM61.35 million.

The substantial improvement was driven by the recognition of a three-month contribution from QSI after the completion of acquisition.

To differentiate itself from bigger players like IBM Corp and Amazon.com Inc, Teo said Kronologi has positioned itself to be nimble in supporting its customers.

“Why [do] SMEs choose local or transnational Asean solution? One reason is because we are located here, so their data stays in the country rather than being thrown onto the Internet to be stored somewhere else they wouldn’t know about,” he said.

“That kind of data security [being localised] gets a lot of confidence vote among midsize companies, as they want to know where the data is being stored,” he added.

Secondly, Teo said Kronologi can handle SMEs’ requirements better than big names like Amazon and Google in terms of customer priority.

“They are one of millions in Google’s [customer base]. So if they have a problem, they might not be able to reach out [effectively],” he said.

In the next 12 months, Teo said Kronologi is planning to host two more data storage infrastructure hubs — one in Malaysia and one in Hong Kong — to provide customers with more geographic options in storing their enterprise data.

“We have proven that our solutions can do a decent [gross profit] margin level [of 27% in FY16], as reported. The challenge is not coming out with the most unique solution but rather how quickly we can replicate the wins that we have obtained,” he said.

Last Friday, Kronologi’s share price closed 0.5 sen or 1.41% higher at 36 sen, giving it a market capitalisation of RM89.32 million.

http://www.theedgemarkets.com/article/indian-unit-performance-surpass-profit-warranty-%E2%80%94-kronologi

怡克伟士签排污奖掖计划．为政府节约2亿 http://www.sinchew.com.my/node/1635628/怡克伟士签排污奖掖计划．为政府节约2亿

Buy on weakness

Write a comment..CIMB Research retains Add for Maybank, sees recovery in EPS growth http://www.thestar.com.my/business/business-news/2017/04/20/cimb-research-retains-add-for-maybank-sees-recovery-in-eps-growth/

You need to think about

1. current price level
2. future business prospects
3. the QR relased today

The stock price does not necessary drop further even if the QR released today is mediocre.

http://www.nst.com.my/business/2017/04/231260/dnex-switches-expansion-mode

The stock price has dropped from RM 1.34. The stock price does not have to drop further considering its current P/ E.

https://klse.i3investor.com/blogs/PublicInvest/121046.jsp

The annual report released recently was very good. The company's business prospects remain very good. Buy on weakness.

Gadang's business prospects remain very good!

BUSINESS PROSPECTS
As the current financial year remains challenging with higher operating cost affecting the Group, the Board
is reviewing the operational efficiency of each business unit to assess and determine its long-term relevance
within the Group’s operations. Accordingly, the Board may consider divesting the non-core business
activities to realign the Group’s competitive position as an integrated engineering group moving forward.
However, the Board is encouraged that based on the present level of activities, the Group’s performance for
this financial year will be another strong year arising from the following developments:-
(i) Construction Division
With the recent award of the contract for Package V206 of the Project Mass Rapid Transit Laluan 2:
Sungai Buloh – Serdang – Putrajaya (SSP) for a contract sum of RM952.09 million, the outstanding
order book grew significantly to some RM1.6 billion.
(ii) Property Division
Aggressive market traction to implement more affordable home sales will assist to strengthen the
Property Division’s activities. The current unbilled sales registered some RM164.7 million in value.
(iii) Utility Division
Upon completion of fresh negotiation with the local authorities, possible higher tariff rates will have
positive impact to the Utility Division. The mini hydro project of 9MW is still under construction
phase and is not expected to generate revenue until FYE 2018.
(iv) Plantation Division
More maturing acreage will contribute to better yield and reduce the Plantation Division present loss
position during this financial year.
http://www.malaysiastock.biz/Company-Announcement.aspx?id=966525

The Group recorded revenue of RM128.54 million for the current quarter as compared to RM147.88 million
in the preceding quarter mainly due to lower work progress from existing construction and property
activities. The Group’s profit before tax increased marginally to RM36.71 million as compared to RM36.10
million in the preceding quarter.

http://www.nst.com.my/business/2017/04/232059/osk-holdings-outlines-top-level-personnel-changes

http://www.malaysiastock.biz/Company-Announcement.aspx?id=966541

http://www.theedgemarkets.com/article/ekovest-get-incentive-government-bunus-plant-kl

http://www.theedgemarkets.com/article/ekovest-get-incentive-government-bunus-plant-kl

http://www.malaysiastock.biz/Company-Announcement.aspx?id=966516
Ekovest Berhad is pleased to announce that our wholly-owned subsidiary, Ekovest KL Bund Sdn Bhd had on 19 April 2017 entered into an incentive agreement with the Government of Malaysia for the enhanced design in respect of Bunus Regional Sewerage Treatment Plant, Kuala Lumpur.

http://www.thestar.com.my/news/nation/2017/04/17/wee-mega-projects-mega-gains/

For loans higher inflation means higher profitability.

Write a comment..Malaysia's March inflation higher at 5.1% y-o-y http://www.theedgemarkets.com/article/malaysias-march-inflation-higher-51-y-o-y

Buy the stock for the long-term investment.

http://www.thestar.com.my/business/business-news/2017/04/19/citigroup-sees-oil-surging-to-midus60s-by-yearend/

Nasdaq 0.12% down

https://klse.i3investor.com/blogs/kenangaresearch/120907.jsp

Nasdaq down 0.12%

https://www.wsj.com/articles/imf-boosts-global-growth-forecast-to-3-5-despite-geopolitical-angst-1492520402

I bought the stock today as it was a bargain sale.

Malaysian tech stocks put pedal to the metal on chip boom http://www.thestar.com.my/business/business-news/2017/04/18/malaysian-tech-stocks-put-pedal-to-the-metal-on-chip-boom/

MIER sees stronger exports as external demand picks up http://www.thestar.com.my/business/business-news/2017/04/18/mier-sees-stronger-exports-as-external-demand-picks-up/

Genting underpins KLCI advance, semicon shares shine http://www.thestar.com.my/business/business-news/2017/04/18/genting-underpins-klci-advance-semicon-shares-shine/

Back in August 2016, Krono acquired the remaining 80% stake in Quantum Storage (India) Pte Ltd for RM26mil. This is one of the key reason for the growth of Krono.

https://klse.i3investor.com/blogs/tradeview/120753.jsp

Ekovest bags RM79m job to develop DBKL’s Blue River project http://www.theedgemarkets.com/article/ekovest-bags-rm79m-job-develop-dbkl’s-blue-river-project

The Dow consolidated 0.9% yesterday.

The Dow rebounded by 0.90%.

Banks, consumer stocks lift Bursa Malaysia firmer http://m.thesundaily.my/node/439677

New Hoong Fatt buys land in Indonesia for RM18m to build new plant http://www.theedgemarkets.com/article/new-hoong-fatt-buys-land-indonesia-rm18m-build-new-plant

The Dow is up!

Today a director bought the stock before the next QR release. Good sign.

http://talkingpointsmemo.com/livewire/mcmaster-us-prefers-action-short-of-armed-conflict-north-korea

http://www.malaysiastock.biz/Blog/BlogArticle.aspx?tid=6151
Semiconductor stocks should continue consolidating.

外资看好银行、消费、旅游

以领域来看，银行、消费和旅游将是外资青睐的3大领域。马来亚银行（MAYBANK，1155，主板金融组）和联昌集团（CIMB，1023，主板金融组）将是外资银行股首选，消费类股则集中于英美烟草（BAT，4162，主板消费品组）和巴迪尼控股（PADINI，7052，主板消费品组）。

有鉴于此，该行维持今年富时综合指数1800点年终目标，但提前大选将是达标的关键。

“尽管外资对马股态度转好，但我们依旧警惕外围逆风可能对马股带来的冲击，因此维持防御性投资策略，即‘加码’公用事业、产业投资信托、建筑、航空和石油与天然气类股，主题投资则选航空股。”

领域和主题股首选股为国家能源（TENAGA，5347，主板贸服组）、金务大（GAMUDA，5398，主板建筑组）、大马机场（AIRPORT，5014，主板贸服组）、沙布拉能源（SENERGY，5218，主板贸服组）、怡保花园产托（IGBREIT，5227，主板产业投资信托组）和云升控股（YINSON，7293，主板贸服组）。

安联金融（AFG，2488，主板金融组）、益纳利美昌（INARI，0166，主板科技组）、RCE资本（RCECAP，9296，主板金融组）和安联保险（ALLIANZ，1163，主板金融组）则为追求价值的投资者选股。
http://www.malaysiastock.biz/Blog/BlogArticle.aspx?tid=6161

Its time to rebound. The stock was oversold.

http://www.malaysiastock.biz/Blog/BlogArticle.aspx?tid=6151

Today Pentamaster surged. Unisem should consolidate more.

http://www.malaysiastock.biz/Company-Announcement.aspx?id=965887
Annual audited account