Stock With Momentum: Watta Holding

This article first appeared in The Edge Financial Daily, on August 29, 2018.
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Watta Holding Bhd (+ve)

TRADING of shares in Watta (fundamental: 1.05/3, valuation: 1.10/3) triggered our momentum algorithm yesterday for the first time this year. The group saw about 3.1 million shares traded, compared with its 200-day average of 54,497.5 shares.

Watta, whose shares have more than doubled in the past one week, said yesterday its deputy group executive chairman and chief executive officer Datuk Lee Foo San was “exploring certain corporate proposals previously[,] which had been aborted”.

It said this in response to an unusual market activity (UMA) query from Bursa Malaysia.

Watta is principally involved in the trading and export of automotive batteries, marketing and distribution of telecommunication equipment, and handphone servicing.

The stock, which was trading at just 30 sen apiece on Aug 17, settled at 62 sen yesterday, giving it a market capitalisation of RM52.38 million.