Hot Stock JobStreet rises 38% as investors anticipate positive growth prospects

by **Cals** Tue 30 Dec 2014, 02:19

Hot Stock
JobStreet rises 38% as investors anticipate positive growth prospects

KUALA LUMPUR (Dec 29): JobStreet Corp Bhd ([You must be registered and logged in to see this image.] Financial Dashboard) rose as much as 38.5% to 54 sen from its opening price of 38 sen before easing to 52 sen as 4.20pm today, with 65.56 million shares changing hands, making it the second most actively-traded stock on Bursa Malaysia.
The group, which recently completed the disposal of its online job portal business to SEEK Asia Investments Pte Ltd for RM1.89 billion, is also seen to have substantial cash levels even after a generous special dividend of RM2.65 per share for the financial year ending Dec 31, 2014.
A dealer told theedgemarkets.com that the counter has been on investors' radar lately, largely due to the anticipation of positive growth prospects from potential investment with the cash that JobStreet has on hand.
The stock has also been picked as one of The Edge Research's Stocks with Momentum last week.
"The market feels positive about JobStreet's growth prospects, considering that there are not many job portals in Malaysia," the dealer said over telephone.
As at Sept 30, 2014, JobStreet is in a net cash position of RM46.3 million. He noted that the company, which has no core business after the portal disposal, can use the cash to start up a new venture.
Additionally, there is "not much in the market to play with" and that its share price at 38 sen this morning is "quite cheap", said the dealer, noting that JobStreet, being run by "good management", contributed to its appeal to investors.