Stock With Momentum: Kwantas Corp

This article first appeared in The Edge Financial Daily, on December 31, 2019.
-A +A

Kwantas Corp Bhd(-ve)
SHARES in Kwantas Corp Bhd (fundamental: 0.2/3, valuation: 0.9/3) closed two sen or 2.47% higher yesterday at 83 sen with 884,900 shares traded.

Year to date, the counter has dropped by 2.35% from 85 sen at the beginning of this year. The current market price values the group at RM258.69 million.

For the first quarter ended Sept 30, 2019, Kwantas’ net loss narrowed by 62% to RM9.91 million, from RM26 million a year ago, while revenue grew 34.7% to RM203.77 million from RM151.29 million.

Moving forward, Kwantas said as the palm oil prices have been gradually recovering in the second half of 2019, together with stronger demand, improved productivity from oil palm plantations, forward sales commitments and forward price hedging strategies, its management is confident that its oil palm plantation will continue to contribute positive margins to the group from its trading and export activities.