Stock With Momentum: JAKS Resources

This article first appeared in The Edge Financial Daily, on August 23, 2019.
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JAKS Resources Bhd (-ve)

JAKS Resources Bhd (fundamental: 0.80/3, valuation: 1.1/3), which fell half a sen or 0.61% to close at 81.5 sen yesterday, made it into our Stocks with Momentum list for the first time since it last did in February 2018.

At the closing bell, Jaks Resources recorded a trading volume of 43.23 million shares, four times more than its 200-day average of 10.2 million shares.

Jaks Resources on Wednesday announced a tripling of its net profit to RM37.29 million for its second quarter ended June 30, 2019, from RM12.74 million in the year-ago quarter, on higher earnings in its construction division, contributed by engineering, procurement, and construction works in Vietnam.

The significantly larger revenue at its construction division helped lift quarterly revenue by 86% year-on-year to RM315.43 million, from RM169.99 million previously.