According to a report, Citigroup has increased its profit forecasts for KB LAMINATES (HKG: 01888) for the years 2026 to 2028 by 7% to 16%. The bank has also raised its target price for the stock from HK$80 to HK$100, reflecting stronger-than-anticipated profitability from its AI glass fabric business.
This marks the latest in a series of target price hikes by Citigroup over the past four months, starting from HK$20.5. The company's share price has surged fivefold since the start of the year, a rally the bank attributes to sharp increases in the average selling prices for electronic glass fabric and copper-clad laminates, which have improved profit and growth expectations.
The bank noted that following meetings with Honghe Electronic Material, a leading Chinese AI glass fabric manufacturer, it gained insights favorable for KB LAMINATES. These include expectations that the average selling price for electronic glass fabric will continue to rise in the second half of 2026 due to limited loom supply, alongside the higher-than-expected profitability of AI glass fabric.
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