Stock With Momentum: Bintai Kinden Corp

This article first appeared in The Edge Financial Daily, on August 13, 2018.
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Bintai Kinden Corp Bhd (-ve)

TRADING of the shares in Bintai Kinden Corp Bhd (fundamental: 0.25/3, valuation: 0.9/3) triggered our momentum algorithm last Friday for the first time this year.

The stock, which saw 5.5 million shares traded — about 15 times its 200-day average of 357,358.5 shares — settled two sen or 12.9% higher at 17.5 sen.

Last Thursday, Bintai Kinden said it had been appointed subcontractor to undertake works related to the construction of elevated stations for the mass rapid transit line 2 project. The contract, valued at a provisional sum of RM13.3 million, was awarded to its wholly-owned unit Kejuruteraan Bintai Kindenko Sdn Bhd, by MRCB Builders Sdn Bhd.

The group expects the contract to contribute positively to its earnings, net assets per share and gearing for the financial year ending March 31, 2019 as well as the group’s future earnings.