KUALA LUMPUR, July 30 (Bernama) -- Bursa Malaysia's key index closed at an intraday high today, supported by continued buying interest even as renewed geopolitical tensions and a weaker overnight lead from Wall Street following the US Federal Reserve's (Fed) decision to stand pat on interest rates weighed on broader sentiment. The Fed has decided to hold rates steady for the fifth consecutive meeting, with the Federal Funds Rate unchanged between 3.50 per cent and 3.75 per cent. At 5 pm, the FTSE Bursa Malaysia KLCI (FBM KLCI) rose 4.84 points to 1,720.40 from yesterday’s close of 1,715.56. The benchmark index, which opened 1.14 points lower at 1,714.42, hit its lowest level of 1,710.69 in early trade before gaining momentum for the rest of the day. However, the broader market was negative with losers outpacing gainers 581 to 411, while 612 counters were unchanged, 1,173 untraded, and 87 suspended. Turnover declined to 2.49 billion units valued at RM2.25 billion from ...
Shares of Pansar Bhd (KL) reached their highest level in nearly three months on Monday after the company secured a substantial RM804.7 million contract. The stock rose by as much as 6.1%, or 3.5 sen, to 60.5 sen, its highest since June 12, 2024, before settling at 59.5 sen in early trading. This movement gave Pansar a market capitalization of RM304 million on Bursa Malaysia.
Key Takeaways:
Major Contract Win for Urban Transportation Project: Pansar's recent surge in stock price follows the announcement of an RM804.7 million contract win for the Kuching Urban Transportation System (KUTS) Blue-Line Package 2 in Sarawak. This project involves infrastructure construction, including architectural design, mechanical and electrical works, roadworks, and other related activities, for the stretch between Stutong and Hikmah Exchange.
Increased Trading Activity: The stock saw heightened trading activity, with 1.09 million shares traded, nearly triple the 200-day moving average. Despite the positive momentum, no institutional analysts currently cover the stock, suggesting that it may still be flying under the radar of major investors.
Diversified Operations and Financial Challenges: Pansar, primarily known for building materials, is also involved in distributing marine engines, industrial products, and wood-engineering equipment, as well as providing services in air conditioning, ventilation, and fire protection systems. However, the company has faced financial challenges, with a 15% decline in its stock value this year and a slight decrease in net profit to RM6.88 million for the first quarter ended June 30, 2024, attributed to lower revenue from its construction materials and agro engineering businesses.
Pansar's significant contract win could provide a much-needed boost to its financial performance and help stabilize its stock price in the coming months, while its diversified operations offer resilience in an uncertain market environment.
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