Weekly | Why Sri Trang Gloves Lead the Market this Week?
As of the close on Friday, $Straits Times Index(STI.SI)$ closed at 3,454.47 points, up 0.34% points last week.
During the last 5 trading days, $Sri Trang Gloves(STG.SI)$, $NIO Inc.(NIO.SI)$, $Siam Cement TH SDR(TSCD.SI)$, $AIS TH SDR(TADD.SI)$ and $Gulf TH SDR(TGED.SI)$ are the top 5 weekly gainers, up 19.05%, 13.16%, 11.70%, 10.05% and 9.74% respectively.
$BEST WORLD INTERNATIONAL LTD(CGN.SI)$, $Jardine C&C(C07.SI)$, $Prudential USD(K6S.SI)$, $Sri Trang Agro(NC2.SI)$ and $Delta TH SDR(TDED.SI)$ are top 5 decliners of SGX stocks which market capital above S$1 Bln.
Below are key analyses of the TOP 5 gainers:
1. $Sri Trang Gloves(STG.SI)$
Sri Trang Gloves' stock surged over 19% last week, nearly closing at a multi-year high.
Recently, the company revealed its AI initiatives, announcing that Sri Trang Group is advancing towards "SriTrangNovation," leveraging AI to propel the organization forward while enhancing the skills of executives and employees to apply AI effectively across all sectors for maximum efficiency.
At the end of last month, Sri Trang Gloves confirmed that it would begin delivering its first orders of natural rubber gloves, produced from EUDR-compliant latex sourced from its parent company, Sri Trang Agro-Industry Public Company Limited (STA), to customers in the medical and other industries by August 2024.
2. $NIO Inc.(NIO.SI)$
NIO shares surged last week following the Chinese EV maker's impressive second-quarter performance, with revenue rising 98.9% year-over-year. While narrowing its expected losses per share, Nio reported revenue of US$2.46 billion. The company also achieved a record high in electric vehicle deliveries, rebounding from previously reported declines in August.
Following the earnings report, JP Morgan analyst Nick Lai upgraded NIO from Neutral to Overweight, raising the price target from US$5.30 to US$8.00. Meanwhile, DBS analyst Rachel Miu maintained a Buy rating on NIO, setting a price target of US$7.10.
3. $Siam Cement TH SDR(TSCD.SI)$
According to the company's official website, The Siam Cement Group Public Company Limited is one of the largest and oldest cement and building materials company in Thailand and Southeast Asia.
SCG recently addressed environmental issues, announcing that the company is collaborating with various sectors to organize the ESG Symposium 2024. This event will be centered around the theme "Driving Inclusive Green Transition," aiming to explore solutions and take decisive action against the global warming crisis.
Notably, Siam Cement Group has suspended operations at two plants in Myanmar and postponed any expansion plans for the next two years, citing the ongoing economic downturn and political instability in the country.
4. $AIS TH SDR(TADD.SI)$
Thailand's Advanced Info Service (AIS), the telecom company founded by former Prime Minister Thaksin Shinawatra, is expanding into cloud computing and renewable energy as it seeks growth beyond its core industry.
In early August, AIS announced a partnership with U.S. cloud services provider Oracle, with plans to launch "AIS Cloud" by the end of March. Together, Oracle and AIS will offer over 100 cloud services to businesses, with a joint investment of 8 billion baht (US$233 million) by 2030 for service development and other initiatives.
Notably, as mentioned in a previous report, AIS has also announced its readiness to offer GPU-as-a-Service to corporate clients, making it the first provider in the region to offer such services. This initiative will significantly enhance enterprises' ability to leverage AI technology effectively.
5. $Gulf TH SDR(TGED.SI)$
Last week, Gulf Energy Development Public Company Limited (GULF) officially disclosed the Information Memorandum regarding the amalgamation between Gulf Energy Development and Intouch Holdings Public Company Limited. Earlier in July, GULF and Intouch Holdings Public Company Limited (INTUCH) announced a strategic amalgamation aimed at restructuring related companies within the group to maximize benefits for future operations and investments.
Shareholders should note that Gulf Energy Development Public Company Limited will hold its Extraordinary General Meeting of Shareholders No. 1/2024 on Thursday, October 3, 2024.
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