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Singapore’s Big Winner for the Week: Charisma Energy Services Ltd

Charisma Energy Services Ltd (SGX: 5QT), an electrical and mechanical engineering company, has jumped by 20% since last Friday’s close to end Thursday at S$0.036. With Singapore’s broader market, as represented by the Straits Times Index (SGX: ^STI), moving up by 0.5%, Charisma Energy has certainly been a big winner here this week.

On 3 November 2014, stock exchange operator Singapore Exchange issued a query to the company after its shares jumped 27% on the same day to close at S$0.038. At one point during that day, Charisma’s shares actually crept up till S$0.045. In the query, Singapore Exchange also added that this is the second one that’s been issued to the firm in the past five months.

A total of about 187 million shares changed hands that day, which incidentally was its highest volume for some time. For some perspective, an average of 14.6 million of the company’s shares was traded daily for the month of October. In response, Charisma replied that other than the announcements that have been made previously, it is unaware of any information not previously announced that might shed some light on the unusual trading of the shares.

In early September this year, the firm announced that it had secured a 7-year contract, valued at around US$72 million, to provide a fleet of five offshore support vessels in the Arabian Sea to support the marine and oil & gas activities of a Middle Eastern national oil company.

Charisma is trading at a historical price-to-earnings ratio of around 58 at its closing price on Thursday.

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The information provided is for general information purposes only and is not intended to be personalised investment or financial advice. Motley Fool Singapore contributor Sudhan P doesn’t own shares in any companies mentioned.