KNM

KNM has been in down trend for a year already.
RM3.2 in Jan 2011 to 80 sen in Dec 2011. 75% of value evaporated.

Revenue (RM'000)

P/L (RM'000)

22 Nov 2011

KNM

3rd

31 Dec 2011

445,185

(116,295)

22 Aug 2011

KNM

2nd

31 Dec 2011

544,300

10,855

26 May 2011

KNM

1st

31 Dec 2011

413,000

19,017

23 Feb 2011

KNM

4th

31 Dec 2010

384,233

20,631

24 Nov 2010

KNM

3rd

31 Dec 2010

418,359

56,094

30 Aug 2010

KNM

2nd

31 Dec 2010

383,210

14,144

25 May 2010

KNM

1st

31 Dec 2010

373,301

40,334

25 Feb 2010

KNM

4th

31 Dec 2009

398,609

(31,046)

Listed above is the quarterly revenue and PAT for the last two years until a huge one off provision surfaced that KNM was in huge loss - a staggering RM116 million loss. It is interesting that the last 6 qtrs, KNM has been making profit but its share price was diving for the last one year. It simply means, the insiders have been anticipating this one off provision to come. Has the stock bottom? we shall observe the insider movement thru price and volume movement.

Who has been disposing for the last one year?

Date	Stock	Name	Type	Qty
21-Dec-11	KNM	Employees Provident Fund Board	Disposed	4,000,000
20-Dec-11	KNM	Employees Provident Fund Board	Disposed	1,959,600
19-Dec-11	KNM	Employees Provident Fund Board	Disposed	645,000
16-Dec-11	KNM	Employees Provident Fund Board	Disposed	1,000,000
13-Dec-11	KNM	Employees Provident Fund Board	Disposed	200,000
9-Dec-11	KNM	Employees Provident Fund Board	Disposed	2,000,000
8-Dec-11	KNM	Employees Provident Fund Board	Disposed	1,629,600
7-Dec-11	KNM	Employees Provident Fund Board	Disposed	472,900
6-Dec-11	KNM	Employees Provident Fund Board	Disposed	1,200,000
5-Dec-11	KNM	Employees Provident Fund Board	Disposed	168,900
5-Dec-11	KNM	Employees Provident Fund Board	Disposed	402,000
1-Dec-11	KNM	Employees Provident Fund Board	Disposed	1,812,000
30-Nov-11	KNM	Employees Provident Fund Board	Disposed	2,500,000
29-Nov-11	KNM	Employees Provident Fund Board	Disposed	2,800,000
25-Nov-11	KNM	Employees Provident Fund Board	Disposed	800,000
24-Nov-11	KNM	Employees Provident Fund Board	Disposed	450,000
23-Nov-11	KNM	Employees Provident Fund Board	Disposed	100,000
22-Nov-11	KNM	Employees Provident Fund Board	Disposed	500,000
21-Nov-11	KNM	Employees Provident Fund Board	Disposed	500,000
18-Nov-11	KNM	Employees Provident Fund Board	Disposed	238,200
17-Nov-11	KNM	Employees Provident Fund Board	Disposed	193,200
14-Nov-11	KNM	Employees Provident Fund Board	Disposed	700,000
10-Nov-11	KNM	Employees Provident Fund Board	Disposed	381,800
8-Nov-11	KNM	Employees Provident Fund Board	Disposed	225,000
3-Nov-11	KNM	Employees Provident Fund Board	Disposed	499,500
2-Nov-11	KNM	Employees Provident Fund Board	Disposed	100,000
18-Oct-11	KNM	Employees Provident Fund Board	Disposed	350,000
11-Oct-11	KNM	Employees Provident Fund Board	Disposed	3,000,000
10-Oct-11	KNM	Employees Provident Fund Board	Disposed	2,901,700
7-Oct-11	KNM	Employees Provident Fund Board	Disposed	500,000
29-Sep-11	KNM	Gan Siew Liat	Acquired	267,100
29-Sep-11	KNM	Lee Swee Eng	Acquired	267,100
26-Aug-11	KNM	Employees Provident Fund Board	Disposed	1,000,000
26-Aug-11	KNM	Employees Provident Fund Board	Disposed	2,500,000
24-Aug-11	KNM	Employees Provident Fund Board	Disposed	377,900
23-Aug-11	KNM	Employees Provident Fund Board	Disposed	205,700
22-Aug-11	KNM	Employees Provident Fund Board	Disposed	372,600
10-Aug-11	KNM	Employees Provident Fund Board	Disposed	900,000
9-Aug-11	KNM	Employees Provident Fund Board	Disposed	4,000,000
8-Aug-11	KNM	Employees Provident Fund Board	Disposed	4,000,000
5-Aug-11	KNM	Employees Provident Fund Board	Disposed	2,951,800
4-Aug-11	KNM	Employees Provident Fund Board	Disposed	4,390,900
3-Aug-11	KNM	Employees Provident Fund Board	Disposed	677,900
2-Aug-11	KNM	Employees Provident Fund Board	Disposed	1,576,700
1-Aug-11	KNM	Employees Provident Fund Board	Disposed	2,100,000
29-Jul-11	KNM	Employees Provident Fund Board	Disposed	189,800
21-Jul-11	KNM	Employees Provident Fund Board	Disposed	150,000
14-Jul-11	KNM	Employees Provident Fund Board	Disposed	601,200
14-Jul-11	KNM	Employees Provident Fund Board	Disposed	2,457,300
11-Jul-11	KNM	Employees Provident Fund Board	Disposed	167,300

The answer is EPF - the biggest culprit that managed my monthly contribution. EPF continued selling for the last six months. Selling pressure has eased. Take a closer look at the current movement since 21 Dec 2011.

What a coincidence the stock bottom on 22 Dec 2011. Obviously EPF has turned to become buyer but no announcement was made?

TA observations:
1. A reverse H&S is being formed. A breakout of 1.02 is imminent.
2. MA 10 crossed MA 20.
3. Strong support MA20
4. price move higher 18, 19 & 20 Jan together with increasing volume.

BUY