Aminvest Fair value target : 0.54

And LATEST DBS Fair Value target: 0.60

Wow djia and oil price up so much again

DBS restarted coverage on Armada.
Strong buy call with 0.60 target.
Key paragraphs below.
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Kraken back on track: BAB’s Floating Production, Storage and Offloading FPSO segment improved in 1HFY19 due to the resolution of issues regarding its Kraken FPSO vessel which operates in the North Sea with extremely harsh conditions. There were unidentifiable issues previously. BAB sent a senior staff to oversee the vessel for 3 months and spotted operational and technical inefficiencies. BAB decided to replace 5 of its technical leads in 2QFY19 which improved profits by 34% q-o-q. Kraken’s earnings are expected to improve marginally in 3QFY19. There are no operational problems so far for BAB’s remaining vessels and everything is running according to plan.

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Installer still seeking jobs: BAB’s pipelay barge the Armada Installer is awaiting a decision by the State Oil Company of Azerbaijan Republic (SOCAR) for a contract in the Caspian Sea. Armada Installer is one of only 2 vessels that are able to handle the Azerbaijan job. The Armada Installer has submitted bids for jobs at Lukoil’s Filanovsky field as well bids to other players. The Armada Installer is on an on-call basis and is ready for work anytime. Its current running cost largely comprises manpower cost.

If up also WONT up more than 3cents in a day, that's Armada operator strategy

Ya Mabel, I'm also waiting below 0.49

Today volume very low

Nobody wanna buy 0.495???

Today is T2, watch out

Totally no buying volume

Buy rate 0%???? Funny la

It's to break 0.50, 0.48 already broken

The last two sentences are stating, improved profits by 34%, means it will up 34% from 2nd quarter report result, means it will increase another 27mil from this

“There were unidentifiable issues previously. Bumi Armada sent a senior staff to oversee the vessel for three months and spotted operational and technical inefficiencies. It decided to replace five of its technical leads in the second quarter FY19, which improved profits by 34 per cent quarter-on-quarter.

“Kraken’s earnings are expected to improve marginally in third quarter FY19. There are no operational problems so far for its remaining vessels and everything is running according to plan,” Alliance Research added.

KUALA LUMPUR, Nov 11 -- Alliance Research has set a “buy” call on Bumi Armada Bhd for the international offshore energy facilities and services provider's offshore support vessels (OSV) recovery and resolution of Kraken issues.

In a note today, the research house said it believed the pickup in the industry's utilisation rates for OSV is expected to drive utilisation for Bumi Armada’s vessels higher.

“There are already noticeable improvements in the second quarter financial year 2019 (FY19) and the company’s plan to sell more idle OSVs would lift utilisation rates higher, while bringing overall operational cost down,” it said.
Should you be wearing longer or slimmer pads?
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Bumi Armada's floating production, storage and offloading (FPSO) segment improved in the first half of the financial year 2019 due to the resolution of issues regarding its Kraken FPSO vessel, which operates in the North Sea under extremely harsh conditions.


“There were unidentifiable issues previously. Bumi Armada sent a senior staff to oversee the vessel for three months and spotted operational and technical inefficiencies. It decided to replace five of its technical leads in the second quarter FY19, which improved profits by 34 per cent quarter-on-quarter.

“Kraken’s earnings are expected to improve marginally in third quarter FY19. There are no operational problems so far for its remaining vessels and everything is running according to plan,” Alliance Research added.

Unbelievable, today T2, first time close green

If the coming quarter is posting a good report ,them we can see Armada rally again December and January 2020

Just now I bought 500k shares at 0.475, suddenly all fake queues disappear

If Armada price this week up, n next week drop, then really got big problem already, as it might be a trap

Based on past 5years for Q3 report, it was out within 3rd week range, means, coming quarter report should be out next week, 18-22 Nov range

Now contra players getting smarter, they won't wait till T2 then only sell, mostly they sold last Friday

We maintain our BUY recommendation on Bumi Armada with a higher sum-of-parts-based fair value of RM0.54/share (from an earlier RM0.42/share), translating to a low FY20F PE of 10x vs. over 20x for the sector.
Bumi Armada’s shares were sold down yesterday likely on news that independent UK-based exploration and production operator EnQuest, currently with a market cap of £296mil (RM1.6bil), has “proactively down-manned” the Thistle platform on Monday in a precautionary move after a preliminary subsea structural inspection related to a support element on a redundant subsea storage tank. Thistle lies around 201km north-east of Shetland.
EnQuest’s 115 workers were transferred from the Thistle platform to the nearby Dunlin installation and has announced that the platform will remain shut down pending the conclusion of further inspection and any necessary remedial action.
EnQuest, which produced 68,548 barrels per day in 1H2019, is expected to generate earnings of US$159mil in FY19F and US$166mil in FY20F, over 2x vs. Bumi Armada. It has interests in multiple oil fields located in the North Sea comprising West Don, Don Southwest, Broom, Heather, Thistle, Deveron, Magnus, Greater Kittiwake Area and Kraken. It also operates the onshore Sullom Voe Oil Terminal, Ninian crude oil pipeline system and Northern Leg gas pipeline.
Recall that Bumi Armada was awarded a US$1bil floating production, storage and offloading (FPSO) vessel charter in 2012 by Enquest for the Kraken field located in the East Shetland basin, 400km north-east of Aberdeen. The FPSO is a converted Suezmax tanker with a daily production capacity of 80,000 barrels and storage capacity of over 600,000 barrels.
While first oil for the Armada Kraken FPSO was achieved on 23 June 2017, the vessel has not been able to secure its full contracted charter rate given technical issues which resulted in sub-optimal production levels. Currently, management is unable to provide clarity on Armada Kraken fully achieving Enquest’s contracted production targets.
As the incident at the Thistle platform is not related to the Kraken field and management views that the worst is over for Armada Kraken’s operational performance, we view the sell-down on Bumi Armada’s shares as overblown.
Nevertheless, given the group’s still higher gearing, we expect further announcements to monetize the group’s offshore support vessels, given its low overall utilization rate of only 50%, idle construction vessels and up to 40% stake in the fully operational US$1.5bil Armada Olombendo, deployed at Eni’s Block 15/06 off Angola.
The stock trades at an undeserved FY20F PE of 7x currently against a backdrop of a sustainable earnings recovery and improving balance sheet risks.
Source: AmInvest Research - 23 Oct 2019

Bear in mind this:

KUALA LUMPUR: AmInvestment Bank Bhd has maintained its 'buy' recommendation on oil and gas support services provider, Bumi Armada Bhd, with a higher sum-of-parts (SOP)-based fair value of 54 sen per share from 42 sen per share set earlier.

Anyway, since rate cute last Friday evening, money will be going to stock, so klci will see rally

Today it's T2 for last Thursday, lesson learnt for so many times, today will drop abit, so it's GREAT opportunity to buy on dips

Buy on dips buy on dips

*Market News*

*Progress in trade talks* and a steady, but accommodating Fed policy *have eased the way for the stock market’s rally to new highs*, and both will be in the forefront when President Donald Trump and Jerome Powell speak at separate events in the week ahead. (CNBC)

The major stock averages rose slightly on Friday, notching fresh record closing highs, as Wall Street capped off a week in which trade optimism sparked a massive rotation out of bonds and into equities. The DJIA climbed 6.44 points, or 0.02% to 27,681.24, led by Disney shares. The Nasdaq Composite advanced 0.5% to 8,475.31. (CNBC)

*Saudi state oil giant Aramco will sell up to 0.5% of its shares to individual retail investors* and will be restricted from issuing additional shares for a year after the initial public offering (IPO), its prospectus said on Saturday. (Reuters)

*Concerns about supply shortfalls and higher export scenario sentiment saw Malaysia’s crude palm oil (CPO) continue its uptrend mode* after recording its first major recovery in October, surpassing the 2018 level for the first time. (The Sun)

*Oil and gas (O&G) stocks have been rallying* on the back of the Refinery and Petrochemical Integrated Development (Rapid) project in Pengerang, Johor becoming fully-operational by the fourth quarter of this year. *The interest and appetite for O&G stocks have been surprisingly positive throughout the last few months* despite the tame prices of the Brent crude oil. (The Star)

*Bank Negara Malaysia’s (BNM) move to reduce the statutory reserve requirement (SRR) ratio to 3% from 3.5% bodes well for the local banking industry*. The banks will have more money in hand to lend out. As loan growth strengthens, so does the domestic economic growth. The 0.5% cut in SRR is expected to release RM7.35 billion into the banking system. (The Edge)

Construction company *GDB Holdings Bhd is aiming to achieve a turnover of RM1b in the next 5 years*. Its latest RM213.3m contract win for the construction of the 5-star Hyatt Centric Hotel in Kota Kinabalu, Sabah — its first job in East Malaysia — has bumped up its total outstanding order book to RM1.2 billion, which would keep the company busy for the next three years. This will result in an average of RM400m sales annually. (The Edge)

*Entitlements: Friday, 8 Nov 2019*

6:20PM DAYANG-C2 ADJUSTMENTS TO THE TERMS AND CONDITIONS

5:34PM NHFATT An interim single tier dividend of 3 sen

5:09PM DAYANG-C1 ADJUSTMENT TO THE TERMS AND CONDITIONS

5:04PM SLP THIRD SINGLE-TIER INTERIM DIVIDEND OF 1.5 SEN

Most Analysts said tomorrow and onwards malaysia stock market will have rally due to Bank negara cut down the interest rate to 3%, it will have very positive impact to stock market

Leslie, why need to worry? Trump not yet agreed doesn't mean he won't agree later. Just buy on dip as opportunity

Koonnam, I know u r an armada operator here, that's no point to educate and take it seriously those ignorant, childish and sarcastic and repeated talks by those "survivors" who already suffered for long. You can't blame us as we all these survivors have been suffering and waiting for so long, and now only can see some bright lights, that's why show some ego to each others which is very normal

True koonnam, now everyone here act like tycoon already, anyway, im just a small fish

Shpok, u let me know your number of shares first

Seems like internally is unloading the shares??

Agreed with superpanda,till next Tuesday if still maintain at this current level, I will start buying again

At this price I not dare to buy, only sell, but will only buy on dips

Armada is undervalued while velesto is overvalued now

Well says Rj, we need your this kind of good analysis but not sarcastic statements

Seems like price is coming down again n more n more sohai shorties coming

Shpok, that's your email address,not his

Rj, give me your email address here, let me shoe you mine

We all are in same boat, aiming to make money together, I'm also hoping everyone here making good money here

Ya true itch, now I really feel that shpok getting much arrogant

Bumi Armada rebounded from its low and broke past the resistance price of RM0.47 in the latest session. With the momentum indicator RSI above 60%, it may continue to move towards the target price of RM0.54 followed by RM0.60. If it dips below RM0.47, expect a sideway consolidation again. In this case, the support price is anticipated at RM0.41, whereby traders may exit on a breach to avoid the risk of a further correction.

Trading Call: Buy on continuation above RM0.47

Target: RM0.54, RM0.60 (time frame: 3-6 weeks)

Exit: RM0.41

Source: AmInvest Research - 8 Nov 2019

So shpok, how much totally shares u holding now?

*Market News - 8th November 2019*

*The Dow and S&P 500 notched record closing highs on Thursday as the latest signs of progress in U.S.-China trade relations relieved investors*, but a report raising fresh worries about the outlook for a deal limited the day’s gains. (Reuters)

*China and the United States have agreed to roll back tariffs on each other’s’ goods as part of the first phase of a trade deal*, officials from both sides said on Thursday, offering a new sign of progress despite ongoing divisions about the months-long dispute. (Reuters)

*Brent crude rose above $62 a barrel on Thursday after China hinted at progress towards a trade deal with the United States*, raising hopes for an end to a long dispute that has weighed on economic growth and fuel demand.(CNBC)

*Bank Negara Malaysia (BNM) is proposing the implementation of a cash transaction limit (CTL) of RM25,000 in 2020*, as part of its efforts to tackle and reduce money laundering and terrorism financing.(theSundaily)

The *Penang Government will set up a special purpose vehicle (SPV) to issue bonds to pay for the State’s light rail transit (LRT) project*. Chief Minister Chow Kon Yeow said the bonds will be guaranteed by the Federal Government as proposed by Prime Minister Tun Dr Mahathir Mohamad in the letter received by the State Government dated Oct 15.(The Edge)

*GDB Holdings Bhd* secured another construction contract from conglomerate Hap Seng Bhd. This time around, they will be building the Hyatt Centric hotel in Kota Kinabalu, Sabah, for a provisional contract value of RM213.3 million.(The Edge)


*SYF Resources Bhd* is proposing to raise up to *RM85.83 million via a renounceable rights issue with free warrants to fund its existing and future property development projects*. The money raised will also be used to repay bank borrowings.(The Edge)

*EcoFirst Consolidated Bhd*’s wholly-owned unit Pujian Development Sdn Bhd (PDSB) has received a sealed court order to pay a judgement sum of RM10.37 million in respect of the rescinded sale and purchase agreements involving 12 units. (The Edge)

Property developer and resort operator *Sentoria Group Bhd* plans to give up ownership of part of a plot of land for its Langkawi Geopark Resort City project to bring in a strategic investor for the resort development. (The Edge)

*Entitlement Announcement Thursday, 7 Nov 2019*

6:28PM VSTECS Single tier interim dividend of 2.5 sen

5:39PM DAYANG Rights Issue

5:18PM GTRONIC-C3 ADJUSTMENTS TO THE TERMS AND CONDITIONS

Rj, u also give me your email address

Shpok, let's buy on dip tomorrow to support our taiko mikekim

Just now I sold 3mil shares n also bought back 2mil shares at lower price

Today up only 3cents, u all so happy already, it's not up 10cents in a day la

Yu n mee give negative comments already, let's start buying

Oh JC is back, we welcome you

Hoping yu n mee giving negative comments,then only I dare to buy n sell buy and sell,to make some short term gain

If giving positive comments, I won't trade first, even though this morning bought 450k shares