[ad_1]
KUALA LUMPUR (Oct 21): Bursa Malaysia regained a market capitalization of RM412 billion as a result of the rally from the mid-March low in the past seven months between March 18 and October 19, 2020, data shows from Bloomberg.
Since March, the FBM KLCI hit a six-month high of 1,611.42 in July. At the time, the benchmark was one of the few indices in the positive zone. However, the gains only lasted for a short period. The index has reduced its gains since the end of July to close at 1,518.11 points on October 19, down 4.4% to date (YTD). That being said, the FBM KLCI is up 24% during the seven-month period after the global defeat.
The issue of health, particularly rubber glove manufacturers, has been at the center of the stage for most of the year. In addition to glove stocks, The Edge is taking a closer look at the data to uncover the top winners, which have been grouped according to market capitalization, which they have eclipsed in times of economic uncertainty.
Market capitalization of more than RM10 billion
Now there are 35 companies in Bursa Malaysia worth more than RM10 billion. Of these companies, two were initially not in this category on March 18, namely Supermax Corp Bhd and Kossan Rubber Industries Bhd, which were valued at RM1.93 billion and RM5.84 billion at the time.
In total, stocks in this category have collectively earned around RM224.98 billion in market value over the past seven months. In terms of share price performance, 26 of the 35 counters have recovered from their lows in March.
Obviously, the top four glove manufacturers, the main beneficiaries of the Covid-19 pandemic, top the list.
Press Metal Aluminum Holdings Bhd is the non-glove counter that has made the most profit – a 78% increase to $ 5.32 from the $ 2.84 low. Sime Darby Bhd is another star player who grew 49% to RM2.40, while Petronas Chemicals Group Bhd jumped 39.2% to RM6.
Interestingly, other plantation accountants linked to the FBM KLCI index also posted solid 20% growth in their share price, namely Sime Darby Plantation Bhd (23.1% increase), PPB Group Bhd (23% increase). ), Kuala Lumpur Kepong Bhd (22.1% increase)) and IOI Corp Bhd (+ 21.7%).
Crude palm oil (CPO) prices reached a nine-month high of RM3,011 per tonne in mid-September, as a result of recovery in demand for palm oil mainly from India and China. This contrasts with the low of RM1,962 per tonne in May.
Although they have recovered from the low in March, only the PPB is slightly higher by 0.6% to date among plantation stocks. The other three plantation counters have yet to recoup their losses from earlier this year. YTD, Kuala Lumpur Kepong was down 11.8%, Sime Darby Plantation was down 8.3% and IOI Corp was down 7.2%.
Market capitalization from RM1 billion to RM10 billion
There were a total of 108 accountants that posted earnings over the seven-month period, dominated primarily by tech-related manufacturers. Cable manufacturer Supercomnet Technologies Bhd (STB) led the group. It was up 501% to its closing price of RM2.20 on October 19, from 36.6 sen on March 18.
The counter has seen a steady uptrend since March, with its market cap increasing to RM1.47 billion from RM205.76 million seven months earlier.
The company was valued at RM205.76 million seven months ago and has since exploded to surpass the RM1 billion mark with a total market capitalization of RM1.47 billion. YTD, STB is up 205% and is trading at a price-to-earnings ratio of 69.3 times.
Metals manufacturer UWC Bhd was the first finalist, gaining 423% in the same period to close at RM6.46 on October 19, followed by hard drive component producer JCY International Bhd, which was up 421%. at 75.5 sen.
The big jump in its share price, in fact, outpaced that of the healthcare counters, namely Pharmaniaga Bhd which soared 420% during the period to RM5.50, as well as Duopharma Biotech Bhd which rose 261 % to RM4.06 on October 19.
The increase at both pharmaceutical counters was primarily due to news that they would be participating in the filling and finishing process of a Covid-19 vaccine for Malaysia, as well as general optimism about the healthcare segment amid the pandemic.
Mah Sing Group Bhd, the latest favorite of glove bulls, has rallied 246% in just three business days, thanks to its decision to diversify into rubber glove production.
It is also worth noting that the market capitalization of HLT Global Bhd, which is involved in the manufacture of glove dip lines, soared significantly to RM1.11 billion as of October 19, from around RM61 million in March. The accountant gained 1.509% during the period.
Market capitalization from RM500 million to RM1 billion
Little-known Hong Seng Consolidated Bhd tops the list with its share price soaring 22 times (up 2.189%) to RM1.03, from just 4.5 sen on March 18.
The IT solutions provider, formerly known as MSCM Holdings Bhd, also jumped on the rubber glove making bandwagon in an attempt to reverse its financial performance.
The company, which was only valued at RM11.95 million seven months ago, now has a market capitalization of RM533.2 million.
Of the 74 companies in this category, 22 of them have registered more than 100% growth in their share prices since March 18. A total of RM17.8 billion market capitalization was obtained from this list.
Luster Industries Bhd, which is primarily engaged in precision plastic parts and components manufacturing, subassembly of plastic parts and products, as well as precision engineering work and die casting component manufacturing, is the second winner in she is ready.
Its share price rose 309% to 22.5 sen. It is also the latest company to announce its adventure in the manufacture of rubber gloves.
Iris Corp Bhd is also one of the top winners for being one of the bidders for the government’s 1 billion ringgit National Integrated Immigration System project and is said to be a favorite. Its shares rose 279% to 26.5 sen, from seven sen on March 18.
Thermoformed plastic food packaging supplier SCGM Bhd, which diversified into manufacturing personal protective equipment (PPE) in March, is also among the top winners on this list as it saw its share price rise 3 , 7 times (up to 277%) at RM3.31.
Other notable companies are technology company JF Technology Bhd (up 232% to RM4.19) that benefited from the recovery in the technology sector, frozen food maker Kawan Food Bhd (up 181% to RM2.63), as well as Luxchem Corp Bhd (172% at 94.5 sen), which supplies chemicals to glove manufacturers.
Market capitalization from RM100 million to RM500 million
Among the smaller-cap stocks, top winners include travel agency company Parlo Bhd, which in September signed an agreement with Myanmar’s Diamond Palace Group of Companies Ltd and Agensi Pekerjaan Seaview Hectare Sdn Bhd to provide agency-related services. job.
While he has yet to see the contribution to earnings from the new business, the accountant increased 1,229% to 46.5 sen on October 19, up from the close on March 18 of 3.5 sen. The company’s market capitalization multiplied to RM169.28 million from RM10.92 million during the period.
Ancom Logistics Bhd has also come into the spotlight, amid news that integrated security IT solutions provider S5 Holdings Inc is seeking a backdoor listing through the company.
The parties involved in the proposal reached an agreement in July. Although there have been no updates since then, Ancom Logistics’ share price soared 1,129% to 43 sen on October 19 for seven months from the low of 3.5 sen on March 18.
Meanwhile, several winners in this category made a profit after announcing healthcare-related companies this year, including bus operator GETS Global Bhd (up 1,400%), which announced a rubber glove company, Solution Group Bhd (up 1,380%), which was announced by a vaccine company, as well as LKL International Bhd (up 1,060%), which was awarded a glove supply contract by a China-based company.
Other winners on the list with related companies include Bintai Kinden Corp Bhd (up 1,038%) and Ho Wah Genting Bhd (up 994%), which announced vaccine-related companies, and MQ Technology Bhd (up 900%), which announced a company in the manufacture of PPE.
Read also:
The music is still loud at the glove makers’ party
[ad_2]
