Construction stocks hit, Gamuda falls the most

  • Markets
  • Monday, 08 Oct 2018

Genting slumped 15 sen to RM6.80 and erased 1.01 points while GentingM was down three sen to RM3.25 following the recent corporate news which were viewed as negative by investors.

KUALA LUMPUR: Construction stocks took a hit on Monday with Gamuda taking the brunt of the selling pressure as the government revised the Mass Rapid Transit (MRT) 2 project.

At 5pm, the KLCI was down 1.4 points or 0.08% to 1,775.75. Turnover was 2.37 billion shares valued at RM1.82bil. Decliners beat advancers nearly four to one with 745 losers to 195 gainers and 323 counters unchanged.

Adding to the doom and gloom was the selloff of the China markets, which resumed trading after a week-long break. Shanghai's main index resumed trading after a long holiday and mainland blue chips sank 4.3% on concern over growth and an intensifying trade row with the United States, Reuters reported.

At Bursa, Gamuda fell 78 sen to RM2.43 with 92.70 million shares done while MMC Corp lost 22 sen to RM1.13 with 6.92 million units traded. The fall in the shares also prompted Bursa Securities to halt the short-selling activities until Tuesday.

AmInvestment Research had cut the earning outlook and reduced the fair value by 19% to RM2.71 for Gamuda and downgraded its call to underweight from hold. The earnings downgrade was to reflect the government’s termination of MMC-Gamuda as the tunnelling contractor for the MRT2 project.

IJM fell 19 sen to RM1.60 while Sunway Construction ended the day 19 sen lower at RM1.56.

Press Metal fell 15 sen to RM4.93 and erased 1.06 points from the KLCI while Tenaga was down six sen to RM15.38 and wiped out 0.61 of a point.

Time dotCom fell 25 sen to RM8 after it reduced its broadband prices though analysts expected it to fare better in the long run. 

Telekom lost seven sen to RM3.01, Axiata shed one sen to RM4.29 while Maxis gained one sen to RM5.70 and Digi three sen higher at RM4.71.

As for consumer stocks, F&N fell 68 sen to RM37, Dutch Lady lost 66 sen to RM64.34 and Ajinomoto 42 sen lower at RM21.54. Nestle rose 50 sen to RM146.40 and BAT 10 sen to RM33.60.

IHH Healthcare was the biggest mover among the KLCI stocks, rising 20 sen to RM5.30 and pushing the KLCI up 2.96 points. 

As for banks, RHB Bank fell five sen to RM5.28, Maybank one sen lower at RM9.65, while CIMB and Public Bank were flat at RM6.04 and RM24.98.

IOI Corp gained eight sen to RM4.57 and added 0.9 of a point to the KLCI, PPB Group two sen higher at RM16.86, KL Kepong was flat at RM25. Sime Plantations was flat at RM5.25 and Sime Darby three sen lower at at RM2.60 while Sime Property one sen down to RM1.11.

As for glove makers, Supermax lost 22 sen to RM2.84 and Hartalega seven sen down at RM6.31.

Among the chip makers, MPI slid 28 sen to RM12.38 and KESM 20 sen to RM14.90.
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