Opening Daily Highlight
Mixed
Finding support at 1,600 level
Tue, 19-Nov-2024 07:18 am
by Research Team • Apex Research

Market Review & Outlook     

  • Malaysia Market Review. FBM KLCI (+0.7%) rallied sharply yesterday driven by strong performance from blue-chip stocks, particularly PMETAL which climbed in tandem with rising aluminium prices after China announced the end of its export tax rebate on the commodity. The lower liners also rebounded, with the industrial sector (+1.2%) emerging as the biggest winner among its sectoral peers.     

 

  • Global Markets Review. Wall Street ended mixed with Nasdaq leading the pack following news that the US government is considering to ease regulation on self-driving vehicles. Meanwhile, the European markets continue to retreat while the Asean stock market closed mixed as investors anticipates a slew inflation data from China and Japan this week.

 

  • Market Outlook. Despite the FBM KLCI rebounding above the 1,600 level yesterday, we reckon that the downward trend is still intact as sentiment is expected to drag by heightened geopolitical uncertainty. Likewise, we opine that the lower liners are likely to be choppy in absence of fresh leads. On the global front, all eyes will focus onto EU inflation rate that will release later today. Back home, investors will be focusing on the ongoing quarterly results season. Sector wise, we maintain a positive outlook on commodities-related stocks, particularly those that are involved in manufacturing and trading aluminium and copper products, as the removal of Chinese export rebates is expected to reduce market supply. Bargain hunting activities may emerge within the Energy sector following the recovery in crude oil prices.

 

FBM KLCI Technical Review & Outlook

  • Technical Commentary: The FBM KLCI formed a bullish candle to recover above the 1,600 psychological level as well as re-claim SMA200. Indicators remained negative as MACD Line hovered below the Signal Line, while the RSI lingered below 50. Immediate resistance is located at 1,625. Support is envisaged around 1,570.

 

Company News 

  • CelcomDigi Bhd has revised down its full-year guidance, expecting service revenue to be “flat- to slightly decreased,” from the previous projection of a “low single-digit increase”, while cutting its earnings before interest and tax (Ebit) growth outlook to a “low single-digit decrease”, from an earlier forecast of a “single-digit decrease”. 

 

  • Ajinomoto (Malaysia) Bhd's net profit surged 76.66% to RM18.29 million in the second quarter ended Sept 30, 2024 (2QFY2025), from RM10.35 million, helped by stronger sales from both consumer business and industrial business segments, and lower raw material costs.

 

  • Master Tec Group Bhd’s third quarter net profit only grew 3% to RM5.97 million for its third quarter ended Sept 30, 2024 (3QFY2024) from RM5.78 million in 3QFY2023, despite registering 34.4% year on year jump in its quarterly revenue to RM87.63 million.

 

  • TMC Life Sciences Bhd’s net profit for the first financial quarter ended Sept 30, 2024 (1QFY2025) plunged 80.6% to RM2.94 million from RM15.14 million a year ago, as the healthcare group posted a lower revenue while its staff costs and other operating expenses rose.

 

  • Perak Transit Bhd’s net profit for the three months ended Sept 30, 2024 (3QFY2024) increased 6.72% to RM17.71 million from RM16.6 million a year ago, thanks to higher fees from development services as well as rental income and revenue sharing contributions from its terminals’ tenants.

 

  • AWC Bhd has secured a RM48.57 million contract to provide facilities management and maintenance services at Menara Seri Wilayah in Putrajaya. The five-year contract will run from Dec 12, 2024, to Dec 11, 2029.

 

  • Johor Plantations Group Bhd has appointed JL Projects Sdn Bhd as the project manager consortium (PMC) for the construction of its integrated sustainable palm oil complex (ISPOC) for RM30.99 million.

 

  • Berjaya Corp Bhd has sold 32 million shares or 4.14% equity stake in REDtone Digital Bhd, for RM29.76 million in cash via direct business transaction.

 

  • Datuk Doh Tee Leong, major shareholder of Lagenda Properties Bhd and Epicon Bhd has triggered a takeover offer for Mercury Industries Bhd after having purchased 59.88% stake.

 

  • MMAG Holdings Bhd’s Guidance Note 3 (GN3) status has been granted a waiver by Bursa Securities after raising RM237.43 million – RM145.34 million from its six-for-one rights issue at 10 sen per share in January, and RM92.09 million from warrant conversion from January to September.

 

  • OM Holdings Ltd’s manganese alloys workshop suffered minimal damage on Sunday (Nov 17) due to overflow of molten material from casting moulds.

Sentiment: Positive
Read more details in:

Disclaimer

The report is for internal and private circulation only and shall not be reproduced either in part or otherwise without the prior written consent of Apex Securities Berhad. The opinions and information contained herein are based on available data believed to be reliable. It is not to be construed as an offer, invitation or solicitation to buy or sell the securities covered by this report.

Opinions, estimates and projections in this report constitute the current judgment of the author. They do not necessarily reflect the opinion of Apex Securities Berhad and are subject to change without notice. Apex Securities Berhad has no obligation to update, modify or amend this report or to otherwise notify a reader thereof in the event that any matter stated herein, or any opinion, projection, forecast or estimate set forth herein, changes or subsequently becomes inaccurate.

Apex Securities Berhad does not warrant the accuracy of anything stated herein in any manner whatsoever and no reliance upon such statement by anyone shall give rise to any claim whatsoever against Apex Securities Berhad. Apex Securities Berhad may from time to time have an interest in the company mentioned by this report. This report may not be reproduced, copied or circulated without the prior written approval of Apex Securities Berhad.

Market Mover
Settlement Rates
Currency Buy Rates (RM) Sell Rates (RM)
USD 4.455268 4.488135
EUR 4.716585 4.723137
CNY 0.616518 0.616862
HKD 0.572409 0.576643
SGD 3.318330 3.343262