Stocks to Watch IRCB, Pantech, IGB, Goldis, CapitaMalls, undervalued quality stocks, plantations

Business & Markets 2013
Written by Ho Wah Foon of   
Tuesday, 22 January 2013 19:42

KUALA LUMPUR (Jan 22): Based on corporate announcements to Bursa Malaysia, stocks to watch on Wednesday could include IRCB, Pantech, IGB and Goldis, CapitaMalls, undervalued index-linked stocks and PLANTATION [] counters.

On Tuesday, Integrated Rubber Corp Bhd (IRCB) announced that it had been served a legal notice by MALAYAN BANKING BHD [] demanding payment of RM16.89 million owed by the former.

The legal notice demanded that the company make payment of the said sum together with further interest within three weeks from Jan 22 or face winding-up proceedings.

"There will be a significant impact on the financials and operations of IRCB Group should winding-up proceedings take place," said IRCB in its filing with Bursa Malaysia, adding that it had engaged lawyers to defend the case.

PANTECH GROUP HOLDINGS BHD [] said it posted a net profit of RM15.6 million for the third quarter ended Nov 30, 2012, up from RM10.3 million in the previous corresponding quarter, due to improved demand from the oil and gas sector. The group also declared a dividend of 1.2 sen per share.

IGB Corp Bhd and sister company GOLDIS BHD [] reported to the exchange that they were involved in share buy-backs on Tuesday. IGB had bought 50,000 shares at RM2.33 apiece while Goldis had mopped up 1.748 million shares at RM1.99 to RM2 per share.

CapitaMalls Malaysia Trust said its unitholders could expect to receive 4.24 sen per unit on March 6, 2013, after announcing its latest results. This will mean a distribution per unit (DPU) of 8.44 sen for FY12, which was 7.2% higher than for FY11.

In its filings with Bursa Malaysia, CMMT announced a net property income of RM196 million, which is 20.7% higher than the RM162.4 million recorded in FY11. For its fourth quarter, net property income was up 13% y-o-y to RM49.5 million.

It said a revaluation exercise of all its PROPERTIES [] had produced a surplus of RM15 million. The net asset value per unit after income distribution and revaluation would be RM1.15.

With the stock market being sold down about 3% these past two days, undervalued stocks -– particularly quality counters -- may become bargain-hunting targets.

The rise of crude palm oil futures to their highest in more than two weeks on the back of supply concerns about soyoil may also spur investors to look at plantation stocks. Dryness in parts of Argentina and Brazil could hurt South America's soybean yields and turn buyers towards palm oil, which is currently trading at a discount of more than US$300 a tonne, reported Reuters.

The benchmark April contract on the Bursa Malaysia Derivatives Exchange rose to RM2,474 per tonne, the highest level since Jan 7, before closing at RM2,466, a gain of almost 2% from the previous session.


If you need to transfer your credit card balances, I would recommend the services of Balance Transfer Malaysia. They're a network of financial planners who can help you with consolidating credit card balances and other financial advice.