BTM Resources Bhd (+ve)
BTM (Fundamental: 1.65/3, Valuation: 0.3/3) was last picked by our momentum alert on June 9 at 19.5 sen. Since then, the stock has been on an upward trajectory, rising by 52.5% to close at an all-time high of 30.5 sen yesterday.
The company managed to narrow its net loss to RM773,000 in 1Q2015 from RM1.7 million in 1Q2014, on the back of a 56.8% increase in sales to RM2.9 million. It has net cash of RM5.9 million, equivalent to 4.7 sen per share.
BTM is involved in logging, sawmilling, and trading of sawn timber, logs and plywood. Domestic market accounts for 50% of sales, with the balance from export markets - mainly to Australia and Korea. It has a poor financial track record, incurring losses for the past ten years.
The stock trades at 1.33 times book. Historically, the company has not paid out any dividends.