Elsoft Research Bhd (-ve)
TRADING of shares in Elsoft Research (fundamental: 3/3, valuation: 2.10/3) triggered our momentum algorithm last Thursday for the sixth time this year. The group saw 1,555,300 shares traded, compared with its 200-day average of 217,610.
Elsoft Research reached its all-time high of RM3.39 on Aug 29 after announcing a one-for-five bonus issue and two-for-one share split.
The counter was the third largest gainer on Bursa Malaysia. Elsoft announced the bonus issue and share split on Aug 28.
It said the bonus issue of up to 56.4 million shares was to reward shareholders and would be capitalised from the share premium account.
The share split, meanwhile, is intended to enhance the marketability and trading liquidity of its shares.
The stock rose one sen or 0.3% last Thursday, to close at RM3.38, with a market capitalisation of RM935.91 million.
Elsoft Research was last traded at 8.45 times its book value.