From TA point of view, there is a BUY call at this hour albeit with low volume. If it can breached the 1.34 resistance, ABC bullish formation will be formed.
Whichever counters Kenanga recommended don't BUY. Look at Pestech. Still remember many years back, Kenanga recommended TP for Sapura @ RM2.40 as they keep saying book order is good. Look at the price now? RM0.04!!!
14Sept23 Kenanga Research & Investment Building Material - 2QCY23 Report Card: Backstopped by Weak Supply
kiasutrader Publish date: Thu, 14 Sep 2023, 09:46 AM We maintain OVERWEIGHT on the sector. There was a slight improvement in earnings delivery (against our expectations) by the sector in the recently-concluded 2QCY23 results season, vs. the preceding quarter. The sector’s demand outlook is clouded by economic challenges in China. However, supply constraints arising from the shutdown of polluting production capacity especially in China, sanctions on Russian metals and the stickiness of input cost to the downside should provide a backstop to prices. Our sector top picks are PMETAL (OP; TP: RM6.00) and OMH (OP; TP: RM2.07).
ULICORP stood out. There was a slight improvement in earnings delivery (against our expectations) by the sector in the recently concluded 2QCY23 results season, vs. the preceding quarter, with 20%/40%/40% of results coming above/within/below our forecasts, respectively, vs. all disappointed during the preceding quarter. Generally, the top line of all players contracted due to weaker demand and ASP. However, ULICORP (OP; TP: RM1.22) beat expectations on stronger margins for its cable support systems as industry consolidation during the pandemic era had reduced competition, boosting pricing power of the remaining players such as ULICORP.
22Sept23 United U-Li Corporation - The Return of Boom Times Date: 2023-09-22 Firm: KENANGA Stock: ULICORP Price Target: 2.18 Price Call: BUY Last Price: 1.49 Upside/Downside: +0.69 (46.31%) ULICORP has seen a strong pick-up in orders for its key product, i.e. cable support systems, and is bracing for even busier times ahead driven by potential orders from MRT3, RTS, Singapore MRT expansion and new data centres. It is investing in two new plants that will boost its capacity by 40%. Hence, we significantly raise our FY23-24F earnings by 68% and 79%, respectively, lift our TP by 79% to RM2.18 (from RM1.22). Maintain OUTPERFORM.
This book is the result of the author's many years of experience and observation throughout his 26 years in the stockbroking industry. It was written for general public to learn to invest based on facts and not on fantasies or hearsay....
wallstreetrookie
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Technical breakout - ULICORP Alert