KUALA LUMPUR (May 3): Shares of Advance Synergy Bhd surged to its highest in nine months of 15 sen in early trades today, a sharp 25% jump, before narrowing some of its gains to settle at 13.5 sen at 12.09pm.

At its current price, it's still up 12.5% or 1.5 sen, after some 15.54 million shares were done, compared to last Friday (April 29)'s 1.2 million shares, and its 200-day average volume of 361,534 shares.

A remisier told theedgemarkets.com some investors are of the view the stock is strongly undervalued, as it is currently trading at a discount to its net asset per share. Advance Synergy's net asset per share stood at 66.3 sen apiece as at Dec 31, 2015.

Though he noted the company is still in the red, he said it still pays a dividend of 0.25 sen for the financial year ended Dec 31, 2015 (FY15), which translates into a dividend yield of about 2% based on last Friday's closing price of 12 sen.

Advance Synergy is, through its subsidiary, engaged in plastic bottles and containers manufacturing as well as a property developer. It is also involved in the design and engineering of electronic data processing services.

For FY15, the company's net loss widened to RM11.21 million, as compared to RM4.64 million a year ago, on lower revenue — which slipped 2.2% to RM 268.84 million on lower contribution from its hotel and resort operation — and higher operating expenses in 2015.

The higher operating expenses in 2015, compared to 2014, was mainly due to a loss on termination of lease for an overseas hotel, it had said, adding it anticipated challenges to continue in 2016.