Sinotop Holdings Bhd (+ve)
SHARES in Sinotop Holdings Bhd (fundamental: 1.2/3, valuation: 1.5/3), which triggered our momentum algorithm for the first time last Friday, closed up one sen or 20% higher at six sen.
It saw 3.14 million shares exchanged, compared with the 349,446 shares average seen in the last 200 days.
The group is a fabric manufacturer in China and mainly produces customised woven loom-state fabrics from cotton, synthetic and mixed yarn.
In its first half ended June 30, 2016, Sinotop’s net profit halved to RM342,000 from RM712,000 recorded a year ago, due to losses contributed by its joint venture Suzhou Han Ling Packaging Co Ltd, while revenue growth was flat at RM73.67 million.
At the current share price, Sinotop is trading at 0.5 times its book value.