Can LGMS live up to high valuations?

LGMS Bhd executive chairman Fong Choong Fook.

CYBERSECURITY expert LGMS Bhd, which listed on the ACE Market in June 2022, has enjoyed a steady rise in its share price.

At RM1.41 a share, it has almost tripled from its initial public offering price of 50 sen. The stock then was valued at a historical price earnings (PE) multiple of 22 times and currently trades at a demanding 52 times, giving it a market capitalisation of RM643mil.