Hot Stock Metronic surges 16.67% on short term fund buying

by **Cals** Tue 08 Dec 2015, 22:50

Hot Stock

Metronic surges 16.67% on short term fund buying

By Gho Chee Yuan / theedgemarkets.com | December 8, 2015 : 12:08 PM MYT

KUALA LUMPUR (Dec 8): System integration provider Metronic Global Bhd ([You must be registered and logged in to see this image.] Valuation: 1.50, Fundamental: 1.10)'s shares were actively traded today and surged over 16% on fund buying.

At 11.56am, the stock was traded at 6.5 sen, up 0.5 sen or 8.3%, making it the nine most actively traded stock across the bourse. It climbed as much as one sen or 16.67% to seven sen in the early trade.

Trading volume soared multiple times to 15.74 million today as compared to merely 33,000 shares traded yesterday.

This compared to its last 200 days average volume of 6.6 million. Its net tangible asset per share (NTA) stood at seven sen per share as at Sept 30, 2015.

"There was a lot of retail selling yesterday and has pressed the price now," SJ Securities Sdn Bhd senior remisier Goh Kay Chong told theedgemarkets.com

"Some short terms funds or syndicate see this as a good opportunity to buy low so come in to shop this morning (and) therefore push the price up," he added.

In term of earnings, Metronic Global sank into red with a net loss of RM78,000 in its third quarter ended Sept 30, 2015 (3QFY15) as compared to a small profit of RM114,000 in 3QFY14.

The lower net income was due to the impairment on quoted investment of RM1.01 million in the current quarter.

Revenue gained 21% to RM10.83 million from RM8.95 million a year earlier.

(Note: The Edge Research's fundamental score reflects a company's profitability and balance sheet strength, calculated based on historical numbers. The valuation score determines if a stock is attractively valued or not, also based on historical numbers. A score of 3 suggests strong fundamentals and attractive valuations.)
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