Trading ideas: Sime Darby Plantation, Gamuda, Ranhill Utilities, Widad, SMTrack, LYC Healthcare, Dayang, Destini and Ni Hsin

KUALA LUMPUR: Stocks to watch for on Thursday include Sime Darby Plantation, Gamuda, Ranhill Utilities, Widad, SMTrack, LYC Healthcare, Dayang, Destini and Ni Hsin, said JF Apex Research.

Sime Darby Plantation and five of its subsidiaries are being sued for 5.88 trillion rupiah (RM1.72bil) over the disposals of two plantation units.

A civil claim has been filed by Indonesian company PT Asa Karya Multi Pratama, alleging that Sime Darby Plantation had snubbed the deal and “unlawfully offered” shares in the two subsidiaries to a third party.

Gamuda’s net profit for the second quarter ended Jan 31, 2022 rose 43.72% yoy, as gains from property and construction divisions more than offset the weaker concession business.

Ranhill Utilities’ major shareholder and executive chairman, Tan Sri Hamdan Mohamad, has pared his equity interest in the utility group to 34.26%, after disposing of a 9.07% stake in an off-market transaction.

Widad said it is considering a partnership with China-based construction machinery manufacturers SANY Group to leverage the latter’s industrialised building system (IBS) technology for its Langkasuka mega-project — an RM40bil mixed-use complex in Langkawi.

SMTrack is purchasing a Bombardier Challenger 601-3A aircraft for US$1.8mil (RM7.6mil) as part of its move to venture into cargo carriage services.

LYC Healthcare is venturing into the dental industry through the acquisitions of three dental clinics in the Klang Valley for a total of RM3.18mil.

Dayang has secured a contract for the provision of maintenance, construction and modification for Vestigo Petroleum Sdn Bhd.

The value of the contract is based on work orders issued by Vestigo.

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Destini has bagged a contract from EnQuest Petroleum Production Malaysia Ltd for the provision of tubular handling services off the coast of Terengganu.

Ni Hsin has inked an original equipment manufacturing agreement with Dongguan Tailing Motor Vehicle Co Ltd to manufacture the eBixon EV Bike.

Meanwhile, JF Apex said the FBM KLCI could pull back from the week’s gains and hover below the resistance of 1,620 following the decline on Wall Street.

The US market plunged overnight amid higher oil and commodities prices could derail economic growth.

Earlier, European stocks tumbled after the UK announced tax cuts following its inflation hitting its highest since 1992.

Meanwhile, investors continue to monitor the Russia-Ukraine war after US President Joe Biden travelled to Europe to support a ceasefire.