This article first appeared in The Edge Financial Daily, on March 31, 2016.

Fajarbaru Builder Group Bhd (+ve)

Shares of Fajarbaru Builder Group (fundamental: 1.55/3; valuation: 2.4/3) triggered our momentum algorithm for the eighth time this year, after it rose as much as 2 sen or 1.07% yesterday to 61.5 sen, before paring gains to settle 0.5 sen or 0.84% lower at 59 sen.

It saw 7.4 million shares traded, compared to its 200-day average of 467,363 shares.

Fajarbaru, which is involved in construction, project management and trading of construction materials, had announced on March 1 that it had bagged a contract worth RM11.68 million to redevelop the low-cost-carrier terminal (LCCT) at the Kuala Lumpur International Airport (KLIA), which saw its share price trend upwards from the 53 sen it saw then. The contract is for eight months from March 14 to Nov 13, 2016.

For its second quarter ended Dec 31, 2015, Fajarbaru’s net profit surged 461% to RM8.3 million from RM1.48 million a year earlier, as revenue improved to RM116.12 million from RM85.92 million previously.

The stock is trading at 0.8 times its book value. Fajarbaru paid a dividend of 1 sen per share for the year ended June 30, 2015 and a similar amount for the year ended June 30, 2016.