Shares of KB LAMINATES (SEHK: 01888) rose more than 5% during early trading, and as of the latest update, the stock is up 3.64% to HK$72.55, with a turnover of HK$2.167 billion.

On July 6, the leading copper-clad laminate manufacturer issued another price increase notice. Due to persistently strong market demand, the supply of key upstream raw materials such as glass cloth and copper has become increasingly tight, leading to significant price increases. The company has raised prices for all FR-4 and PP products by 15%, for CEM-1/22F by 10%, and increased copper foil processing fees by RMB 5 per kilogram for products under 1.5oz and by RMB 8 per kilogram for those above 2oz.

An analysis report noted that the company has initiated price increases on the value-added profit from copper foil, with a rise of RMB 5 per kilogram for 1.5oz copper foil and RMB 8 per kilogram for 2oz copper foil, equivalent to a price increase of over 25%. As the magnitude of the price hike exceeded expectations, the report raised its earnings per share forecasts for 2026-2028 by 11-12%, lifted the target price from HK$120 to HK$130, and maintained a "Buy" rating.

The report views any pullback in the share price as a buying opportunity, citing potential upcoming catalysts including a first-half earnings preview and potential upgrades to market expectations following the earnings release.