- We downgrade the sector to NEUTRAL (from tactical POSITIVE) after the recent share price rally.
- Malaysia’s glove sector is recovering, driven by inventory replenishment since early-2024 and is set to benefit from a higher 50% US tariff on China-made gloves from 2025 and 100% from 2026. This will boost utilisation rates and ASPs. However, risks persist from China rivals in non-US markets, their overseas expansion and potential higher US tariff extending beyond China-made gloves.
2024, A year of surprises
- - Read this at SGinvestors.io -
- - Read this at SGinvestors.io -
2024E results could have been better
- Read more at SGinvestors.io.
Above is the excerpt from report by Maybank Research.
Clients of Maybank Securities may be the first to access the full report in PDF @ https://www.maybanktrade.com.sg/.
Wong Wei Sum CFA Maybank Research | https://www.maybank.com/ 2024-12-16
More views on outlook of manufacturing / technology sector:
Analyst Reports on Singapore Manufacturing & Technology Sector
Read also Maybank's most recent report:
2024-11-24 Top Glove - Strategic Joint Venture Backed By Ready Order.
Previous report by Maybank:
2024-07-29 Malaysia Gloves Sector - Intensifying Competition; Downgrade To Tactical Positive.
Price targets by other brokers at Top Glove Target Prices.
Listing of research reports at Top Glove Analyst Reports.
Relevant links:
Top Glove Share Price History,
Top Glove Announcements,
Top Glove Dividends & Corporate Actions,
Top Glove News Articles
