Hot Stock AWC actively traded, jumps 9%

by **Cals** Thu 09 Jun 2016, 02:41

Hot Stock

[size=28]AWC actively traded, jumps 9%

By Yimie Yong / theedgemarkets.com | June 8, 2016 : 4:44 PM MYT

KUALA LUMPUR (June 8): Shares of AWC Bhd, which were actively traded today, jumped as much as 9.03% or 6.5 sen to 78.5 sen.

At 4.14 p.m., the counter pared some gains to trade at 76.5 sen, up 4.5 sen or 6.25%, with 41.29 million shares traded. It was the fourth most actively-traded counter on the local bourse at the time.

As comparison, the FBM KLCI was down 5.10 points or 0.3% at 1,655.61.

Year-to-date, AWC’s share price has risen 96.15%.

In a note dated June 4, CIMB Research said it believes the long-term structural story for AWC is positive.

“As land becomes scarcer in the Klang Valley, high-end and high-rise office/residential buildings will widen STREAM division’s and Qudotech Sdn Bhd’s (QDT) addressable markets.

“Regulatory requirements for new and refurbished Housing and Development Board developments to use pneumatic waste collection systems will also expand STREAM’s opportunities,” it said.

“In Malaysia, the Signature Tower win opens up ample opportunities for QDT to win plumbing jobs for other high-rise buildings at Tun Razak Exchange,” the research house said.

At end-May, AWC bagged a RM18.15 million contract from Mulia Property Development Sdn Bhd to undertake cold water and plumbing works for a 92-storey office tower, with a five-storey office annex known as Signature Tower at the TRX project.

CIMB Research has maintained its “buy” rating on AWC, with a target price of RM1.13.
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