KUALA LUMPUR (June 8): KESM Industries Bhd ([You must be registered and logged in to see this image.] Financial Dashboard) saw its share prices risen as much as 21 sen or 5.6% to its intra-morning high today, on institutional buying. SJ Securities senior remisier Goh Kay Chong told theedgemarkets.com that the counter has drawn institutional funds' interest since May 8 this year. "The current price has yet achieved institutional investors' expectations, I belived the stock may rise to a high of RM5.24 if they continue to buy into the counter," Goh said. Goh added that the immediate resistance level of KESM stood at RM4.32. To recap, KESM (fundamental: 2.5; valuation: 2) had on May 8, obtained the approval from shareholders ofSunright Ltd ([You must be registered and logged in to see this image.] Financial Dashboard) regarding a resolution for the sale and transfer of shares in KESM Test (M) Sdn Bhd. This was part of the group's restructuring exercise and its strategy to grow its testing business. KESM is engaged in specialised electronic manufacturing activities, particularly in providing burn-in services to the semiconductor industry. As at 3.31pm, KESM pared down part of its gains to trade at RM3.91, still up 16 sen or 4.27%, with 319,300 units shares traded. It had a market capitalisation of RM161.3 million. It was earlier the second largest gainer across the bourse. For the third financial quarter ended March 31, 2015 (3QFY15), KESM's net profit jumped 27.21% to RM1.73 million, from RM1.36 million a year earlier. The group attributed the improved profit to foreign exchange gains, and lower raw materials and consumables used because of reduced electronic manufacturing services sales. Revenue for the quarter came in at RM62.93 million, from RM59.11 million in 3QFY14. For the cumulative nine months (9MFY15), net profit rose 56.67% to RM6.58 million, from RM4.2 million previously. Revenue for the period grew 4.56% to RM194.18 million, from RM185.72 million in 9MFY14.
TPPA was signed by Malaysia Oct 5th. Seems will benefit exporting sectors eg electronics, wood based, chemical and palm oil. Also, importers will benefit from this with the elimination of all import duties to all countries of US, Mexico and Peru.
Sell into strength.......With oil palm and crude oil price improving, RM will get stronger.... KESM revenue flat, only net profit up due to currency exchange.
To wait for RM strengthen, you need at least 1 more year to see the effect if its happen. Bear in mind, US rate hike still haunt the market..Anytime , RM break further low
This book is the result of the author's many years of experience and observation throughout his 26 years in the stockbroking industry. It was written for general public to learn to invest based on facts and not on fantasies or hearsay....
pang72
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Posted by pang72 > 2015-10-05 18:32 | Report Abuse
Wait for my gold eggs in KESM...patient..no disturb by others