Stock With Momentum: Wah Seong Corp Bhd (+ve)
SHARES in Wah Seong Corp Bhd (fundamental: 0.4/3, valuation: 1.8/3) jumped 13.73% or 10.5 sen to 87 sen yesterday, after 9 million shares were exchanged, triggering our momentum algorithm for the first time this year. Its 200-day average trading volume is only 670,954 shares.
Wah Seong has seen its share price on an upward trend since early July. The counter has risen 29.9% since July 4.
The company recently announced it had received another job from Norwegian Statoil ASA that is related to the Johan Sverdrup export pipeline, with the contract valued at US$18.23 million, or RM73.87 million, according to a filing dated July 22.
The contract involves shipping of pipes to a port west coast of Norway and subsequent offloading. The activity is expected to commence in the second quarter of 2017 and be completed by the first quarter of 2018. Wah Seong is trading at 0.62 times its book value.
WASEONG (5142) - Stock With Momentum: Wah Seong Corp