The aftermath following the Budget. In short, its expected and is an election budget. We still did not have a good plan to reduce the deficit appreciably over the next couple of years. The growth estimates were quite overly bullish. Back to the markets, in low volume days, it is easier to spot stocks making a move. Boon Koon falls into that category.
Boon Koon Group Berhad (BKG) is an investment holding company engaged in the provision of management services. BKG operates in four business segments. The commercial vehicles and bodyworks segment is engaged in the manufacturing and trading of rebuilt, reconditioned and new commercial vehicles, and the manufacture of bodyworks and their related services.
The insurance and financing segment acts as an insurance agent and is engaged in the provision of hire purchase financing and its related services. The rental and fleet management services segment is engaged in the rental of commercial vehicles, provision of fleet management and other related services. The others segment is engaged in investment holding and the provision of management services.
On May 22, 2008, BKG acquired additional interest in BK Fleet Management Sdn. Bhd. (BKFM), which increased its interest in BKFM from 70% to 89%. On February 4, 2009, BKG acquired the remaining 49% interest in BK Continentals Vehicles Sdn. Bhd.< They are one of the select few to be making positive net profits and higher q-on-q for the past 4 quarters. 3Q2010 RM327,000 / 4Q2010 RM653,000 / 1Q2011 RM1,029,000 / 2Q2011 RM1,779,000.
Its about to break its 4 month high and going past the 40 sen would see 44 sen as the resistance, which would still see the company decently valued.
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