Powerwell charts new record high after bagging its largest contract ever

BURSA SGX Home Hot Stock Make The Edge Malaysia your preferred source on Google KUALA LUMPUR (Sept 22): Powerwell Holdings Bhd (KL: PWRWELL ) tested new record high on Tuesday as investors and analysts cheered the electricity distribution equipment maker’s largest ever contract.

The latest orders, worth RM190.4 million combined from a single customer, prompted two of the three research houses covering Powerwell to upgrade their ratings. M+ Global said the contract showed the company’s ability to secure repeat business within the data centre segment.

“We view the latest contract win positively, as it further strengthens Powerwell’s positioning in data centre-related power distribution equipment,” the research house said.

M+ Global lifted its recommendation to “buy” and target price by 21 sen to RM1.41. Affin Investment Bank also upgraded Powerwell to “buy” with target price of RM1.35.