IS REXIT ( KLSE) NOW WORTH BUYING?

**The decision to buy Rexit Berhad (KLSE:REXIT) should be approached with caution.** Here's why:

1. **Technical Analysis Indicators**: The stock is currently showing a neutral trend according to oscillator analysis, and a strong sell according to moving average analysis. This suggests that while the stock is not currently oversold, it may be moving towards a potential sell trend.

2. **Valuation and Market Sentiment**:
- Rexit Berhad's share price is currently trading at a discount, with an estimated fair value of RM1.53 and a current price of RM0.98, indicating a potential undervaluation of 36%.
- However, the stock's price-to-earnings ratio is lower than the market average, which could be an indicator of an undervalued stock.
3. **Financial Performance and Growth Prospects**:
- The company has shown a significant increase in net income, from RM4.01 million to RM3.43 million in the last quarter, indicating a potential decline in profitability.
- Earnings are forecasted to grow at a rate of 7.3% per year, which is a positive sign for future growth.
4. **Market Conditions and Risks**:
- The broader market conditions, such as the potential for U.S. interest rate cuts and Asian currency movements, can impact the stock's performance.
- Rexit Berhad's small market capitalization and unstable dividend track record are risks to consider.

In conclusion, while Rexit Berhad shows some positive signs with a forecasted growth in earnings and a potential undervaluation, the mixed technical indicators and risks in the broader market and company-specific factors suggest that potential investors should conduct further research and consider their risk tolerance before making a decision to buy the stock.