This article first appeared in The Edge Financial Daily on October 10, 2019

Widad Group Bhd (+ve)
Trading of shares in Widad Group Bhd (fundamental: 2/3, valuation: 0.8/3) triggered our momentum algorithm yesterday for the second time this year.

The counter closed half a sen or 1.67% higher at 30.5 sen, after 17.85 million shares were crossed, over five times more than its 200-day average volume of 3.21 million shares. The company, formerly known as Ideal Jacobs (Malaysia) Corp Bhd, announced last month that it had secured a RM120.03 million contract to design and build a new solid waste transfer station in Taman Beringin, Jinjang Utara, Kepong, Kuala Lumpur.

Its wholly-owned Widad Builders Sdn Bhd was appointed the project’s subcontractor by Bumi Segar Indah Sdn Bhd.

Widad, which is primarily involved in piling works, sewerage systems, water retaining structures and other such related works, said the project will be financed via internal funds and external borrowings.

At its current share price, Widad is trading at 4.36 times its book value.