KB Laminates' stock surged 5.84% during intraday trading on Wednesday, showing strong momentum in the market.
The copper clad laminate (CCL) industry continues to experience tight supply-demand conditions, with Korean PCB manufacturers reportedly placing extraordinary pre-purchase orders with Chinese CCL suppliers amid supply disruption concerns. Delivery cycles for certain high-end products have extended beyond six weeks, indicating strong demand pressure.
KB Laminates has demonstrated robust pricing power, having announced two rounds of 10% price increases across all CCL products within April, resulting in a cumulative increase exceeding 40%. Citi maintains a Buy rating on the stock with a target price of 51 HKD, noting that weaving loom supply constraints will limit industry capacity growth over the next two years.
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