Stock With Momentum: TAS Offshore

This article first appeared in The Edge Financial Daily, on February 19, 2019.
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TAS Offshore Bhd (+ve)
Trading of shares in TAS Offshore Bhd (fundamental: 1.05/3; valuation: 0.9/3) triggered our stocks with momentum algorithm yesterday for the first time this year.

It gained half a sen or 1.72% to 29.5 sen yesterday, with 800,800 shares done, much higher compared with its 200-day average of 88,130 shares.  For the second quarter ended Nov 30, 2018 (2QFY19), the shipbuilding and ship repair services company reported a net profit of RM1.29 million in contrast to a net loss of RM1.56 million in the previous year, thanks to recognition from a delivery of one unit of harbour tug.

Quarterly revenue rose by  35% to RM15.77 million from RM11.71 million a year ago.

In the first half, its cumulative net profit more than tripled to RM2.23 million from RM673,000, while revenue for the period rose 12% to RM24.75 million from RM22.14 million a year ago.  It  remains positive on its prospects moving forward. It  is currently trading at 0.32 times its net book value.