Are you looking into or still holding any Mudajaya Group Bhd shares?
Last 2 weeks ago, Mudajaya has received a letter from SC and that came to an end to SC query as well as the poison letter. Nonetheless, even though all research analysts are positive with this company future earnings and outlook, it seems that the share price is dropping everyday right after the 'end' news. We also can see Mulpha is borrowing this opportunity to absorb more Mudajaya shares at average lower price. So what does it indicates?
From what we can see from the price chart, even though there are 8 consecutive days of more sellers than buyers, the trading volumes are minimal compare to before. Meaning, selling pressure might be over and most of the investors are still confident with this company. Moreoever, the prices have formed a solid triple bottoms to build the support ground. With the fall to RM4.27 today, it almost touch the support trend line. Perhaps it is time to rebound with the form of a bullish hammer on tomorrow?
Mudajya has been awarded with 'M'sia's Best Under A Billion'.
In my opinion, Mudajya fundamental outlook is still quite positive where I agreed with OSK and CIMB research analysts, in view of it's projects in hand, including India IPP and Laos hydropower. Mudajaya has no debt and high ROE as well. With the discounted share price of PER 9.26, good fundamental, the possibility of rebounding from support trend line and construction industry becomes the hot theme of the month, perhaps we can give it a try for the coming trading days. It's still a strong bull trend, isn't it?
Note: The post above is just my personal opinion. I'm not held responsible for any of your trading decision. :)
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