Stock With Momentum: AE Multi Holdings

This article first appeared in The Edge Financial Daily, on July 17, 2017.
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AE Multi Holdings Bhd (-ve)

SHARES in AE Multi Holdings Bhd (fundamental: 0.35/3, valuation: 0.3/3) triggered our momentum algorithm last Friday for the fifth time this year.

The counter closed up half a sen or 2.5% at 19.5 sen, with 9.38 million shares done, more than its 200-day average volume of 2.12 million shares.

AE Multi’s net profit for the first quarter ended March 31, 2017 (1QFY17) fell 96.5% to RM43,000 from RM1.24 million a year ago. Quarterly revenue, however, was up 29.4% to RM14.95 million from RM11.55 million in 1QFY16 on increased customer orders and higher selling prices due to an increase in its main raw material, copper clad laminate.

At the current share price, AE Multi is trading at 0.98 times its book value.