Grand-Flo Bhd (+ve)
GRAND-FLO (Fundamental: 1.4/3, Valuation: 0.8/3) saw a surge in trading volume, ahead of the announcement of 1Q2015 earnings results on Monday. However, the stock ended flat at 32 sen yesterday, with 38.2% decline in trading volume to 3.19 million shares.
For 1Q2015, net profit jumped 50.5% y-o-y to RM5.0 million on the back of a 91.7% growth in revenue to RM27.2 million, owing to stronger demand and software implementation due to GST requirement as well as new contribution from property development.
Grand-Flo provides enterprise data collection and collation system solutions to clients in Malaysia, Hong Kong and China. It is also involved in property
development with two on-going projects in mainland Penang with total GDV of RM283 million.
The stock trades at a trailing 12-month P/E of 24.9 times and 1.51 times book. The company has declared a final dividend of 1 sen per share for 2014 (ex-entitlement on June 4), giving a net yield of 3.1%.
http://www.theedgemarkets.com/my/article/stock-momentum-grand-flo
