Sarawak-based Naim Holdings Bhd seemed to have hit its high when it touched 97.5 sen last September.
However, the counter saw its new high of RM1.16 recently and may challenge its resistance at RM1.19, followed by RM1.35.
On May 3, Naim remained unchanged at RM1.12 but succumbed to profit taking activities, pushing the counter lower to close at RM1.09 on May 5.
In just over a year, Naim has more than doubled its share price from its 52-week low of 49 sen.
The excitement over Naim has probably got to do with the possibility of a privatisation exercise.
Naim is a property and construction player, with interests in oil and gas via Dayang Enterprise Holdings Bhd, which is involved in the maintenance, fabrication and hook-up and commissioning sphere, and Perdana Petroleum Bhd, which is in the offshore support segment.
Naim holds a 24.22% stake in Dayang, which controls a 63.67% interest in Perdana Petroleum Bhd.
Investors are also anticipating Naim to sell some of its interest in Dayang to book in extraordinary profit.
Dayang has seen its share price surging 92% to close at RM2.57 on May 5 while Perdana Petroleum was up 81%.
Already, Naim is expected to record much improved results in the first quarter ended Mar 31, 2024.
In the financial year ended Dec 31, 2023, the company posted higher net profit of RM35 million from RM24.8 million in the previous year.
However, it saw lower revenue of RM316.9 million in FY2023 versus RM368.6 million in FY2022.
Dayang’s net profit rose sixfold in the fourth quarter ended Dec 31, 2023 (4QFY2023) to RM94 million from RM12.52 million a year ago.
According to Dayang, it also saw a huge lift from reversal of impairment of RM41.7 million, revision of useful life of its vessel and forex gains of RM7.6 million.
Revenue rose 57.93% to RM351.08 million, from RM222.3 million, as it continued to see job orders despite the monsoon season, adding to the improved daily charter rates.
Naim has chartered more third-party vessels this year.
It declared a dividend of 1.5 sen per share, bringing its full-year dividend to three sen per share, unchanged from last year.
Dayang said it had outstanding estimated call-out contracts of RM1.9 billion as at December 2023.
Essentially, investors look forward to the better results coming from its subsidiary to help boost its bottomline as well, pushing the company’s share price higher.
Chart | Stock Name | Last | Change | Volume |
---|
Created by zaclim | May 17, 2024
Cengild is on a downtrend since its listing in 2022 although it managed to touch a high of 46 sen in August 2023. But there seems to be more excitement for the counter as it rises from the oblivion.
Created by zaclim | May 14, 2024
MN Holdings Bhd has risen 134% in the past year to close at 74 sen on May 13. With exposure in the booming data centre and gree energy play, there could be further upside for the company
Created by zaclim | May 13, 2024
Little-known MCE Holdings took the market by the storm when it announced the emergence of savvy investor as its substantial shareholder. Will this positive news help sustain its uptrend?
Created by zaclim | May 13, 2024
Fajarbaru Builder Group Bhd saw a year-high of 37 recently and should trend higher in the near term as it is a beneficiary of the improving construction sector
Created by zaclim | May 09, 2024
Econpile Holdings Bhd has been on investors’ radar as the counter leapt 131% in over a year. What is drawing investors to this loss making company?
Created by zaclim | May 08, 2024
SCGBHD is cruising ahead, hitting a year high of 60 sen recently. The company is poised to benefit from rising power infrastructure spending to cater for an expected rise in electricity consumption
Created by zaclim | May 07, 2024
SEALINK’s stock price has been consolidating within a symmetrical triangle for almost the past 7 months above SMA200 line
Created by zaclim | May 06, 2024
AEMULUS’s stock price rebounded from SMA200 line with higher low at RM0.320 two weeks ago and stayed at the initial stage of markup phase
Created by zaclim | May 06, 2024
Aurelius Technologies Bhd has grown in the past year in terms of share price performance. Will the recent demand pullback derails its good run?