Stock With Momentum: Nova MSC

This article first appeared in The Edge Financial Daily, on June 20, 2018.
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Nova MSC Bhd (-ve)
SHARES in application software provider Nova MSC Bhd (fundamental: 1.85/3, valuation: 0/3) triggered our proprietary momentum algorithm yesterday for the first time this year.

The stock closed unchanged at 14 sen, bringing it a market capitalisation of RM92.2 million. A total of 50.9 million shares were traded versus the counter’s 200-day average volume of 405,439 shares.

Nova MSC recently secured a 20-month contract from Singapore’s Public Utilities Board to provide building information modelling services worth S$5.17 million or RM15.4 million. The group said the contract was awarded to its wholly-owned unit, novaCITYNETS Pte Ltd.

It added that the contract will contribute positively to its overall results for the financial year ending March 31, 2019.

The stock is currently trading at 2.33 times its book value based on its latest traded price.