At 12.30pm, 78 million shares were traded 30 sen or 33.33% or 15 sen lower from 45, the lowest since the start of this year, making it the most active counter in equities market this morning.
Yesterday, AllianceDBS Research noted that K-One was under selling pressure after gaping down to reach a low of 43.5 sen on May 28.
It added that K-One (valuation: 1.1; fundamental: 2.1) had fallen below the 20-day and 50-day moving average (MA) lines on May 28 after spending 13 days above the same two MA lines.
The research house had warned that the stock was expected to move lower again with immediate support at 43.5 sen following a weak down close on May 28.
“A fall below 43.5 sen should see further price decline to the subsequent support at 39 sen. The hurdle is at 48 sen. A rise above 48 sen would lift the stock to the next resistance at 54 sen,” AllianceDBS said.
The tremendous plunge in share prices comes two days after K-One posted an 83% drop in net losses at RM520,000 compared to RM3.2 million, and with lower earnings per share of 0.12 units compared to 0.87 units the corresponding quarter last year.
Revenue had also dropped by 28.9% to RM32.6 million in the current quarter in review from RM45.8 million last year as result of reduced demand of network cameras.
(Note: The Edge Research's fundamental score reflects a company’s profitability and balance sheet strength, calculated based on historical numbers. The valuation score determines if a stock is attractively valued or not, also based on historical numbers. A score of 3 suggests strong fundamentals and attractive valuations.)
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