Stock With Momentum: Fitters Diversified

This article first appeared in The Edge Financial Daily, on January 17, 2019.
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Fitters Diversified Bhd (-ve)

FITTERS Diversified Bhd (fundamental: 0.55/3, valuation: 0.9/3) shares closed unchanged at 40.5 sen yesterday, after 38.82 million shares were done, exceeding the counter’s 200-day average volume of 957,109 shares.

Fitters’ net profit grew 13.94% to RM4.99 million or 1.12 sen a share for the third financial quarter ended Sept 30, 2018 (3QFY18), from RM4.38 million or 0.94 sen a share, due to higher earnings for its property development and construction division.

Its quarterly revenue was up 18.25% at RM98.54 million, versus RM83.33 million for 3QFY17.

For the cumulative first nine months of FY18, it saw its net profit surge more than five times to RM8.18 million or 1.83 sen a share, from RM1.54 million or 0.33 sen a share last year, while revenue rose 17.21% to RM250.36 million, from RM213.61 million.

At the current share price, Fitters is trading at 0.51 times its book value.