This article first appeared in The Edge Financial Daily on September 6, 2017 - September 12, 2017

HB Global Ltd (-ve)
SHARES in HB Global Ltd (fundamental: 0.20/3, valuation: 0.90/3), an export-driven, one-stop gourmet convenient food specialist under original equipment manufacturer (OEM) and house brands, triggered our Stocks with Momentum algorithm yesterday for the second time since the beginning of this year.

The counter gained 3.5 sen or nearly 39% at 12.5 sen, with some 28.29 million shares done. The trading volume is substantially higher than its 200-day average volume of 268,725 shares.

Last Wednesday, HB Global said it had returned to the black with a net profit of RM2 million in the second quarter ended June 30, compared to a net loss of RM5.12 million a year ago. It also said its gross profit margin ballooned to 30.2%, from a gross loss of 12.3% last year, attributed to the cessation of its loss-making duck farming business. Earlier, the Practice Note 17 company has hinted it may inject new capital and/or new businesses into the group, which may involve a reverse takeover or right issues. At the current share price, HB Global is trading at 0.32 times its book value.