Stock With Momentum: Global Oriental

This article first appeared in The Edge Financial Daily, on December 24, 2019.
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Global Oriental Bhd (+ve)

TRADING of shares in Global Oriental Bhd (fundamental: 0.55/3, valuation: 0.9/3) triggered our momentum algorithm yesterday for the third time this year. The last time was on Nov 19.

The counter closed 1.5 sen or 6.52% higher at 24.5 sen yesterday, after some 772,500 shares were traded.

In comparison, it exceeded its 200-day average volume of 161,425 shares.

Year to date, Global Oriental’s share price has appreciated by 38% from 18 sen on Jan 2 this year.

Global Oriental last month announced its financial results for the second quarter ended Sept 30, 2019 (2QFY20), which saw the group report a net profit of RM4.96 million or 1.09 sen per share, against a net loss of RM9.33 million or 2.05 sen per share a year ago.

Revenue for the quarter grew 74% to RM59.96 million from RM34.41 million for 2QFY19.