This article first appeared in The Edge Financial Daily, on May 20, 2016.
Ajinomoto (M) Bhd (-ve)
SHARES in Ajinomoto (M) Bhd (fundamental: 2.35/3, valuation: 1.1/3) triggered our momentum algorithm for the first time this year, after rising 3.35% to RM12.96 yesterday, after some 249,200 shares changed hands.
On Tuesday, Ajinomoto received a letter, pursuant to the Land Acquisition Act 1960, on the Kuala Lumpur land administrator’s intention to hold a land inquiry pertaining to a compulsory acquisition for the Mass Rapid Transit 2 project.
According to the announcement, the affected plots of land comprise hydrolysed vegetable protein liquid facilities and operations.
Ajinomoto’s net profit for the third quarter ended March 31, 2016 (3QFY16) grew by 40.4% to RM11.52 million, from RM8.2 million in 3QFY15. Its revenue for 3QFY16 increased by 18.7% to RM100.47 million, from RM84.67 million in 3QFY15.
At its current share price, it is trading at a trailing price-earnings ratio of 19.75 times, and is 2.6 times its book value.
AJI (2650) - Stock With Momentum: Ajinomoto (M)
http://www.theedgemarkets.com/en/node/280601
