Stock With Momentum: London Biscuits

This article first appeared in The Edge Financial Daily, on December 5, 2018.
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Trading of shares in London Biscuits Bhd (fundamental: 0.45/3, valuation: 1.1/3) triggered our momentum algorithm yesterday for the fifth time this year.

The counter saw 9.18 million shares crossed — sharply higher when compared with its 200-day average trading volume of 1.17 million shares — before the stock finished two sen or 3.31% higher at 62.5 sen.

Last Friday, in announcing its fourth-quarter results, the company guided that the additional capacity in its potato chip production line would facilitate new business opportunities to be secured, and that it would be introducing a new premium cake product by year end.

However, the company expected challenges to remain with the fluctuation of business and consumer sentiment due to developments on both the domestic and international front.