Stock Name: HARTA
Company Name: HARTALEGA HOLDINGS BHD
Company Name: HARTALEGA HOLDINGS BHD
| Research House: CIMB | Price Call: BUY | Target Price: 9.98 |
Target RM9.98
Its 28.4bn-pieces-of-gloves expansion by FY22 is a strong signal that it remains focused on growth. The project enables Hartalega to defend its dominant position and add market share. We believe backing by the government mitigates risks and raises the probability of success. Also, the Kuan family remains invested in the project as they could contribute RM172m of equity or 41.7% of the external funding via warrant conversion. Maintain Outperform and target, still based on 13.05x forward P/E, in line with Top Glove's 2-year historical average.
No comments:
Post a Comment