KUALA LUMPUR (Dec 23): JAKS Resources Bhd rose as much as 4.4% after the company announced it had secured a RM55.3 million water pipe supply and installation contract from Pengurusan Aset Air Bhd.

The contract comes under package 5 of the proposed Langat 2 Water Treatment Plant and Reticulation System.

At 12.03pm, JAKS rose one sen or 2.2% to 46.5 sen with some 1.5 million shares done. For comparison, the FBM KLCI rose 6.94 points or 0.4%.

Earlier, JAKS climbed as much as two sen to 47.5 sen.

Based on Bloomberg data, JAKS’ share price had fallen 8.9% year-to-date, more than the FBM KLCI's 6.2% decline.

Yesterday, JAKS said the contract was for a duration of 24 months up to January 2017.

“The contract is expected to contribute positively to the revenue and earnings of JAKS group for the financial year ending Dec 31, 2015, and the following financial years within the duration of the contract,” said the company.

The Edge Research has assigned fundamental and valuation scores of 0.35 and 0.9 respectively for JAKS. The tabulated scores are available on the edgemarkets.com website.

The fundamental factor is a composite measure of a company's balance sheet strength and profitablity while the valuation gauge measures a company's historical return and valuation.

Both fundamental and valuation gauges are based on a scale of zero to three with three being the best score.