KUALA LUMPUR (Jan 9): The run-up in hard disk drive manufacturer JCY International Bhd’s shares and call warrants seemed to have stalled after the recent positive profit forecast announced by the company.
Investors who bought the shares ahead and after the Jan 4 announcement seemed to have been locking in their profits.
At 2.52pm, JCY was down eight sen to RM1.14 with 16.68 million shares done while the warrants fell seven sen to 57 with 15.43 million units transacted.
The FBM KLCI was up 2.64 points to 1,516.77. Turnover was 948.16 million shares done valued at RM787.04 million. There were 389 gainers, 247 losers and 292 stocks unchanged.
JCY had stated that the group is likely to record a surge in earnings for the quarter ended Dec 31, 2011.
In said based on current available information, the group was likely to record an increase in net profit for the financial quarter ended Dec 31, 2011 “of approximately 1,900%” compared with a year ago where net profit was RM7.5million.
According to a CIMB Equities Research report, the favourable impact of a higher average selling price, better product mix and stronger US dollar prompted us to revise our above-industry forecasts again for FY12-14.
“This raises our target price to RM1.54, still based on 6x CY13 price-to-earnings. Maintain Trading Buy,” it had then said on Jan 5.
Investors who bought the shares ahead and after the Jan 4 announcement seemed to have been locking in their profits.
At 2.52pm, JCY was down eight sen to RM1.14 with 16.68 million shares done while the warrants fell seven sen to 57 with 15.43 million units transacted.
The FBM KLCI was up 2.64 points to 1,516.77. Turnover was 948.16 million shares done valued at RM787.04 million. There were 389 gainers, 247 losers and 292 stocks unchanged.
JCY had stated that the group is likely to record a surge in earnings for the quarter ended Dec 31, 2011.
In said based on current available information, the group was likely to record an increase in net profit for the financial quarter ended Dec 31, 2011 “of approximately 1,900%” compared with a year ago where net profit was RM7.5million.
According to a CIMB Equities Research report, the favourable impact of a higher average selling price, better product mix and stronger US dollar prompted us to revise our above-industry forecasts again for FY12-14.
“This raises our target price to RM1.54, still based on 6x CY13 price-to-earnings. Maintain Trading Buy,” it had then said on Jan 5.
