Microlink Solutions Bhd (-ve)
MICROLINK (Fundamental: 2.1/3, Valuation: 0.6/3) has soared 88.7% since it posted strong quarterly earnings results last Wednesday. The stock closed at a 5-year high of RM1.17 last Friday.

For the quarter ended March 31, 2015, revenue rose 501.8% y-o-y to RM61.9 million while net profit jumped 508.7% to RM9.2 million, mainly due to higher software sales and consolidation of financial results of newly acquired entities.

For FYMarch2015 covering 15 months period, Microlink recorded revenue of RM137.7 million and net profit of RM9.4 million. It has a net cash of RM16.9 million or 11.1 sen per share.

Microlink, an MSC status company, provides end-to-end banking solutions for financial institution. It is also a leading player in Islamic banking applications.

The stock is trading at a trailing 12-month P/E of 17.8 times and 2.78 times book. Dividends totalled 6 sen for 2013, giving a net yield of 6.5%.

This article first appeared in The Edge Financial Daily, on May 25, 2015.