Warisan- something is brewing...

A stock that I have recommended many years ago to my client- a perennial underperformer- has started to stir up. That stock is Warisan, a company has three core businesses — namely, consumer products which include its cosmetics operations; travel and car rental; and distribution and leasing of heavy machinery.

Last week, Warisan's share price broke above the RM1.95-97 level. This level has capped all past rallies for 4-5 years. The price gain is however on a very thin volume, which may be a reflection of the small available public spread as much as the lack of interest in the stock. Nevertheless, the share price was able to hold quite well above the RM1.95 level, despite the current bearish market. Presently, the share price is again inching up (the time is now 4.25 pm).

Something is brewing in Warisan. Keep a close watch on this stock.


Chart 1: Warisan's monthly chart as at January 17 (courtesy of Quickcharts)



Chart 2: Warisan's weekly chart as at January 17 (courtesy of Quickcharts)