Trading ideas: MFM, Carlsberg, Amway, Uchi

KUALA LUMPUR: Malayan Flour Mills (MFM), Carlsberg Brewery Malaysia, Amway (Malaysia) and Uchi Technologies could see trading interest on Wednesday after their earnings announcements, says JF Apex Research.

It said MFM’s 1QFY16 net profit more than tripled to RM17.63mil from a year ago due to higher margins in both its flour and poultry integration segments.

Carlsberg’s 1QFY16 net profit rose 33.3% on-year to RM62.94mil due to higher volume and contributions from both its Malaysian and Singapore operations.

Amway’s 1QFY16 net profit was halved to RM18.05mil from RM36.84mil a year ago, dragged down by lower sales and higher import costs as a result of the weaker ringgit, as well as higher sales incentive provisions and operating expenses.

Uchi’s 1QFY16 net profit grew by 30.8% on-year to RM13.4mil mainly due to the appreciation of the US dollar against the ringgit. 

Overnight on Wall Street, US markets fell 1% on nagging worries about an earlier interest rate hike by the Federal Reserve. European markets ended lower, weighed down by automotive stocks.
 
At Bursa, the FBM KLCI rose 12.18 points to 1,633.39. 

“Following the bearish performance in the US and Europe, the FBM KLCI could decline today with support at 1,615,” JF Apex Research said.

Meanwhile, stock market data showed foreign funds had slowed down their  selling on Bursa Malaysia to net  selling at –RM132.73mil while local retailers were also net sellers at –RM19.76mil and local institutions were net buyers at RM152.49mil.