This article first appeared in The Edge Financial Daily, on July 1, 2016.

Technodex Bhd (+ve)

SHARES in Technodex Bhd (fundamental: 1.8/3, valuation: 0.3/3) triggered our momentum algorithm yesterday, the first time since 2014. The counter closed 0.5 sen or 3.7% to close at 13 sen yesterday.

It saw 3.91 million shares traded, compared to its 200-day average volume of 310,203 shares.

The IT products and human resource solutions provider turned around in the fourth quarter ended April 30, 2016, with a net profit of RM237,000, compared to a net loss of RM238,000 a year earlier, on lower operating expenses. Revenue, however, fell 38.99% to RM5.79 million, from RM9.49 million.

For the full year, it returned to the black with a net profit of RM297,000, compared to a net loss of RM252,000 in FY15, as revenue improved 18.8% to RM23.95 million, from RM20.16 million

At its current share price, Technodex is trading at a trailing price-earnings ratio of 170.64 times and is 1.63 times of its book value.