By Asia Analytica / The Edge Financial Daily | July 22, 2016 : 10:45 AM MYT
This article first appeared in The Edge Financial Daily, on July 22, 2016.
Eastern & Oriental Bhd (-ve)
SHARES in Eastern & Oriental Bhd (fundamental: 0.75/3; valuation: 0.5/3) lost by five sen or 2.73% to RM1.78 with 8.4 million shares being traded yesterday.
The current market price values the group at RM2.23 billion.
This is the first time E&O has been picked up in “Stocks with Momentum”. The stock has been adding between RM1.38 and RM1.86 in the past 52 weeks.
The group’s fourth quarter ended March 31, 2016 (4QFY16) saw a net loss of RM14.78 million, against a net profit of RM100.5 million a year ago, even as revenue grew 4.19% to RM149.03 million, as its operating profit from its property segment declined.
This is the first time E&O slipped into a quarterly loss since 2009.
Moving forward, E&O said strong headwinds for the property industry are expected to remain for the foreseeable future, compounded by the current local environment of loan restrictions while buyers adopt a wait-and-see stance.
E&O (3417) - Stock With Momentum: Eastern & Oriental
http://www.theedgemarkets.com/my/article/stock-momentum-eastern-oriental
