AWAKEN from its deep slumber, Advance Synergy Bhd, a counter traditionally linked to Datuk Seri Anwar Ibrahim, emerged as the darling stock in the local bourse during the run-up to his official appointment as Malaysia’s 10th Prime Minister (PM).
Following the dissolution of Parliament on Oct 10, the penny stock has skyrocketed almost 400% from a low of 6.5 sen on Nov 4 to a high of 32 sen on Thursday (Nov 24) which coincided with the National Palace consenting the appointment of the Pakatan Harapan (PH) chairman as PM.
A typical example of ‘buy on rumours, sell on facts’, the Main Market-listed company which is listed under the consumer products & services sector, nevertheless nosedived 5.5 sen or 21.15% to close at 20.5 sen on Friday (Nov 25) as the most actively traded stock with 721.11 million shares exchanged hands.
Obviously, the question on every stock punter’s mind now is which politically linked counter will be next? As the vacancy for the PM’s post has been filled, could eyes now turn to the counter/s-linked to the individual who will assume the Deputy Prime Minister (DPM) post?
“The main coalitions to Anwar’s unity government are PH and Barisan National (BN),” a market observer who does not wish to be named shared with FocusM. “Since the PM is from PH, it is not too far-fetched to expect a DPM from the BN camp to be one of the potentially two DPM candidates (the other is likely from Sabah/Sarawak).”
The market observer who is also a seasoned stock punter himself zeroed in on BN’s chairman and UMNO president Datuk Seri Ahmad Zahid Hamidi amid “strong rumours that he would most likely be the lucky one”.
“MQ Technology Bhd and Jiankun International Bhd are both linked to Zahid,” he rationalised. “Zahid’s daughter Datuk Nurulhidayah Zahid is on the board of MQTech (serving as vice chairman) while his son-in-law, Datuk Saiful Nizam Mohd Yusoff is on the Jiankun’s board (serving as deputy chairman).”
Added the market observer: “It will be interesting to see if these two counters are able to repeat as similar feat as ASB in the coming days given the full list of Anwar’s Cabinet line-up has yet to be revealed.”
Last Friday (Nov 25), MQTech closed down 0.5 sen or 11.11% to 4 sen with 17.41 million shares traded while Jiankun shed 0.5 sen or 2.27% to close at 21.5 sen with 1.25 million shares exchanged hands.
“If history does repeat itself, the target price of MQTech should be around 20 sen while Jiankun could soar to as high as 50 sen,” speculated the market observer.
“Even if the performance of both counters are half that of ASB, prospect of a surge in their prices should be appealing enough to draw significant attention to put them into the 10 most actively traded stock list.” – Nov 29, 2022