This article first appeared in The Edge Financial Daily, on May 18, 2016.
Three-A Resources Bhd (+ve)
Three-A Resources Bhd (3A) (fundamental: 2.1/3, valuation: 1.4/3) triggered our momentum algorithm yesterday as the stock increased 3.31% to its 10-month high of RM1.25 at the back of heavy trading with 3.8 million shares changing hands. In comparison, its 200-day average volume was only about 526,648.5.
3A was featured in “Stocks with Momentum” last December when it was just trading at RM1.08. The stock has moved up 15.74% since then.
In its first financial quarter ended March 31, 2016 results (1QFY16), 3A’s net profit was 90.4% higher at RM6.69 million, from RM3.52 million, mainly as a result of higher turnover and lower share of losses from a jointly controlled entity, for current quarter. The group’s revenue for 1QFY16 also jumped by 44.2% to RM107.6 million, from RM74.59 million in 1QFY15.
Currently, 3A is trading at a trailing price-earnings ratio of 21.15 times with a market capitalisation of RM492 million.
3A (0012) - Stock With Momentum: Three-A Resources
http://www.theedgemarkets.com/en/node/279835
