Movement Alert|KB LAMINATES Rises 3.93% in Regular Trading, UBS and Bank of America Both Initiate with Buy Ratings

Market Focus
Aug 13

On August 13, KB LAMINATES rose 3.93% in regular trading, trading at HK$40.0/share, with turnover of HK$488 million, extending the rally that followed multiple major banks initiating coverage the previous day.

On the news front, UBS and Bank of America simultaneously initiated coverage on KB LAMINATES with \"Buy\" ratings on August 12, setting target prices of HK$58 and HK$53 respectively. UBS noted that AI demand is driving supply tightening in copper-clad laminates (CCL) and upstream raw materials, and that KB LAMINATES, as the world's largest traditional FR4 CCL supplier, will be a primary beneficiary. UBS further stated that the approximately 60% pullback from the June high presents an attractive entry opportunity, adding that even when the current traditional CCL upcycle ends, the company's expansion into AI-related upstream materials will provide new structural growth drivers.

Additionally, the company recently raised FR-4 CCL and PP prepreg prices by 10%, and previously issued a profit alert forecasting first-half net profit exceeding HK$2.8 billion, up over 200% year-over-year. Formal interim results are scheduled for release on August 24.

(The above content is based on publicly available market information, generated by a program or algorithm, and is intended solely as a stock movement alert. It does not constitute investment advice or a basis for trading decisions.)

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