Trading ideas: Bumi Armada, Apollo Food, Microlink, Carimin

KUALA LUMPUR: JF Apex Research expects Apollo Food, Microlink Solutions and Carimin Petroleum as among the stocks to watch on Wednesday after their recent corporate announcements.

Other stocks which could see trading interest are Bumi Armada, DRB-Hicom, Global Oriental and Vivocom International.

JF Apex Research said Apollo Food posted a 57.8% on-year increase in net profit for its 4QFY17 thanks to higher sales achieved.

As for Microlink Solutions,it bagged a RM38mil government contract to undertake a loan management system.

The research house also noted that Global Oriental's unit Fame Action Sdn Bhd is teaming up with Malton's unit Layar Raya Sdn Bhd for a mixed development project on 38.34 acres of land in Cheras.

MCE Holdings secured RM60mil contracts to supply various electronic and mechatronic components and parts for a new Perodua model.

Datuk Seri Dr Yeoh Seong Mok has retired from Vivocom International with immediate effect after acting as the group’s CEO since November 2015.

Carimin Petroleum was picked to be the exclusive subcontractor for a RM60mil civil engineering job in relation to a flood mitigation project along Jalan Temerloh, Taman Tasik Titiwangsa.

Bumi Armada announced that its Armada Kraken FPSO achieved first oil on the Kraken field in the UK North Sea. Meanwhile, the production rate is being increased in a phased manner and the FPSO will be further commissioned for final acceptance. 

DRB-Hicom and Geely signed a definitive agreement last Friday whereby Geely will subscribe for a 49.9% stake in Proton and acquire a 51% stake in Lotus. Geely will subscribe for a 49.9% stake in Proton for a consideration of RM460.3mil and acquire a 51% entire stake in Lotus for £100mil (RM550mil).

Overnight, US markets closed lower following a selldown in technology counters after Google was hit by a record US$2.7bil fine for breaching antitrust laws. 
Earlier, European stocks dropped after European Central Bank President Mario Draghi commented monetary loosening will be continued.
 
Last Friday, the FBM KLCI added 2.02 points to close at 1,779.45. 

“Following the dismal performance in the US and Europe, the FBM KLCI could continue its decline towards the support of 1,770,” it said.