Tafi Industries shares surge to 18-month high after contract wins

• Tafi rose as much as 9.7% or six sen to 68 sen, its highest since January 2023. The stock was trading at 66 sen at 9.15am, valuing the company at RM250 million on Bursa Malaysia. Trading volume totalled 406,300 shares, above the 20-day moving average.

KUALA LUMPUR (July 15): Shares in Tafi Industries Bhd (KL:TAFI) surged to their highest in 18 months on Monday, after the company secured contracts for construction, piling and furniture works worth a combined total of RM207.46 million.

Tafi rose as much as 9.7% or six sen to 68 sen, its highest since January 2023. The stock was trading at 66 sen at 9.15am, valuing the company at RM250 million on Bursa Malaysia. Trading volume totalled 406,300 shares, above the 20-day moving average.

At the current share price, the stock is trading at a trailing price-earnings ratio of 299 times, based on earnings per share of 0.22 sen. The price-to-book ratio stands at over three times, based on net tangible assets of 21 sen.

The counter is not rated by any research firms at the moment.

RHB Research in a technical note on June 25, however, said Tafi may extend its uptrend post a bullish breakout.

The house said the counter was moving towards the next resistance of 68 sen, followed by 75 sen.

“On the flip side, falling below the 57 sen support will lead to a resumption of the correction phase,” the house added.

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