MQ Market Updates - 19 December 2022

MQ Trader

Publish date: Mon, 19 Dec 2022, 05:52 PM

Revenue Group Bhd is collaborating with Grab Malaysia to make the latter's PayLater as an in-store payment option for its merchants. PayLater by Grab is a flexible and convenient payment method that enables users to make purchases and pay for them either the following month or in four monthly instalments. Additionally, PayLater does not impose any interest, upfront costs or fees on the users as long as the payments are made timely. (NST)

Gamuda Bhd's shares on Bursa Malaysia rose this morning following its announcement of an all-time high net profit of RM1.17 billion in the first quarter ended Oct 31, 2022 for the financial year 2023 (Q1 FY2023). At 10.32 am, the counter rose by four sen to RM3.65 with 1.39 million shares changing hands. (TheStar)

Digi.com Bhd's prospects could be on the upswing following the merger with Celcom that will make the joint entity the largest mobile player in the country. According to Kenanga Research, the merged entity, officially known as CelcomDigi, will be well entrenched in the public sector and migrant worker pace, commanding the dominant market share in the mobile market at 43%. (TheStar)

Engtex Group Bhd will likely have to wait a tad longer for a pick-up in its order book, as the re-tabling of Budget 2023 could result in a slight delay in the rollout of water infrastructure projects by the government. This, in turn, could weigh on investor sentiment on the company that specialises in the manufacturing and distribution of non-oil and gas pipes, valves and fittings, plumbing materials, construction materials, steel and hardware products. (TheStar)

Harbour-Link Group Bhd expects international container freight rates, which have weakened significantly from their peaks recorded last year, to be volatile going forward. According to the Bintulu-based shipping and integrated logistics provider, its container freight rates within the Intra-Asia and China trade had encountered downward adjustments by 15% to 20% in the July-September 2022 quarter because of weakened cargo demand and keen competition from main liner operators. (TheStar)

Trading in the securities of Serba Dinamik Holdings Bhd will be suspended from Dec 23 if the loss-making oil and gas services company fails to issue its annual report for the financial year ended June 30, 2022 (2022 Annual Report). If the Practice Note 17 company is unable to submit the annual report on Dec 22, its shares will be suspended the following day until further notice. (TheEdge)

Yinson Holdings Bhd has secured another contract extension worth RM15.03 million, for charter of its Adoon floating production storage and offloading (FPSO), which is stationed at the Antan field off Nigeria. In a Bursa Malaysia filing, Yinson said its indirect unit, Adoon Pte Ltd, and Addax Petroleum Development (Nigeria) Ltd entered into an agreement on Dec 16 to further extend the contract for a period of up to Jan 16, 2023. (TheEdge)

JF Technology Bhd (JF Tech) will now focus on attracting more institutional funds that do not have the mandate to invest in ACE Market companies, giving the company greater access to the broader capital markets. JF Tech today successfully transferred its listing from the ACE Market to the Main Market of Bursa Malaysia. Managing director Datuk Foong Wei Kuong said that now that the company is the main market company, this would boost the confidence of stakeholders and better reflect the company's current scale of operations. (NST)

Maybank Investment Bank Bhd expects Astro Malaysia Holdings Bhd's TV subscription revenue to ease and rising content cost to increase, which will compress margins. The bank-backed research firm noted that Astro's third quarter (Q3) results for the financial year 2023 (FY23) underperformed its expectations. (NST)

VS Industry Bhd is poised to record better earnings in the coming quarters from the ramp-up of their utilisation rate, said Hong Leong Investment Bank Bhd (HLIB Research). The bank-backed research firm said this would be due to the labour shortage, which was remedied by the arrival of 3,700 workers. (NST)

RHB Retail Research said D&O Green Technologies Bhd is set to resume its uptrend after it bounced off the RM4.20 support level last Friday from a recent pullback, firming up the Dec 1 breakout above that level. In a trading stocks note on Monday (Dec 19), the research house said that as strong buying interest was observed above the immediate support level, the counter is likely to propel further towards the RM4.50 level, followed by the RM5.00 threshold. (TheEdge)

RHB Retail Research said Innoprise Plantations Bhd is set to propel northwards as it bounced off the 21-day average line surpassing the RM1.50 resistance last Friday on surging trading volume. In a trading stocks note on Monday (Dec 19), the research house said that the bullish bias above that level is likely to drive the stock higher towards the RM1.60 mark, followed by RM1.70. (TheEdge)

The power tariff revision is not expected to have a major impact on Tenaga Nasional Bhd’s (TNB) earnings, as the Government has continuously upheld the Incentive Based Regulation framework and Imbalance Cost Pass-Through (ICPT) mechanism, said analysts. CGS-CIMB Research said TNB’s management had guided that its cash flow is still healthy, and that it has reserves to buffer the delayed payments. (TheEdge)

Source: New Straits Times, The Edge Markets, The Star 19 Dec 2022