@Lester, agree the transaction volume is very high, although this kind of action reminds me of 18/12/2020 volume/price action than Jan 22 volume/price action. In Dec 2020 action, the huge spike up was not sustainable and only good for 1 day. Whereas Jan 2022 action was high, but the price was already uptrending for quite some time and continued to make new highs higher than the day's high eventually. The question now is how does today's high volume portend for the coming days/weeks ....
Technically, it looks with majority odds, that the bottom after 1.5 years of downtrend may have been sighted. Today's price action hit 86 sen, which is the 38.2% Fibonacci retracement, a common resistance. Given the 1.5 years downtrend, it won't be so easy for TALIWRK to continue to rise - low odds. More likely, it'll dip down to retest the bottom. So, if I didn't have a position, then, I would not chase and the high probability play is to wait for a retest and buy the dip.
Thank-you TALIWRK! On 20/10, I added at 79 sen. Today, my queue to sell part of this purchase was executed at 86 sen! THANK-YOU for contributing to make my portfolio hit a new high again today! That's 4 consecutive days of portfolio new high!
Taliworks Corp Bhd's Q3 2023 net profit rose to RM13.54 million boosted by increased results from jointly controlled entity Grand Sepadu (NK) Sdn Bhd, attributed to toll compensation. https://urlis.net/2hciy6d1
The Board is pleased to declare a fourth interim single-tier dividend of 1.0 sen per share on 2,015,817,574 shares amounting to RM20,158,000 in respect of the financial year ended 31 December 2023, to be payable on 29 March 2024.
Water. Revenue climbed higher by 6.0% driven by the increase in chemical and electricity rebates. There was a 2.4% hike in BWSR rates in FY23. Average MLDs came in lower by -2.8% which is within our range of expectations. At the operating profit level, there was a decline of -4.2% mainly due higher rehab & maintenance expenses. Profitability for the segment is expected to improve with a 14.3% tariff hike (effective 1-Jan-24).
Tolls. ADT at the Grand Saga Highway and Grand Sepadu showed encouraging YoY growth at +7.3% and +2.8% respectively, benefitting from increased car usage vs FY22 which encompassed periods of pre-endemic conditions. Additionally, Grand Saga traffic was aided by the opening of SUKE highway. Despite the ADT growth in the period, profitability was lower on the back of higher rehab and maintenance charges.
Construction. Revenue nearly doubled in FY23 due to the progress of the Package 2 and 3 of Rasau water scheme. We expect to see stronger performance from this division with projects showing signs of ramping up. There are also two water opportunities in the pipeline in Selangor which Taliworks could participate in.
Forecast. Despite the results shortfall, we make no changes to forecasts as the construction segment is positively ramping up.
Maintain HOLD, TP: RM0.81. Maintain HOLD with marginally lower SOP-driven TP of RM0.81 (from RM0.82) after rolling over valuation for is concession businesses. Uncertainty over its new level of dividends could weigh on share price in the near term. Nevertheless, we acknowledge the company’s highly cash generative business exposure. Upside risk: water project wins; Downside risk: lower dividends from current levels.
Construction to Fire on All Cylinders in FY24; BUY!!
Under Budget 2024, MYR1.1bn was allocated for supply issues, especially in Kelantan, Sabah, and Labuan. This may include infrastructure like water treatment plants which Taliworks is currently constructing. Another rerating catalyst would be quicker-than-expected approvals for the tariff hike for its waste management associate.
TALIWRK back above 80sen, closing at 0.815. Strong +3.16% gain. Thanks to TALIWRK recovery and 20 other green stocks to offset 12 red stocks, my portfolio made new all-time high again today.
DividendGuy67 TALIWRK back above 80sen, closing at 0.815
Does anyone know why? The share price was punished because the dividend was reduced by about 39%. Something should be emerging for the share price to suddenly jump 2.5 sen with 6+ weeks to go to the next Quarterly Report.
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....
Lester Teow
50 posts
Posted by Lester Teow > 2023-11-08 16:26 | Report Abuse
Such transaction volume last seen Jan'22, almost 2 yrs