PETALING JAYA: Kenanga Research is optimistic about Kelington Group Bhd ’s (KGB) latest contract win worth RM143mil from China’s largest semiconductor foundry, describing it as a strong start towards achieving the research house’s targeted RM1bil order replenishment for 2024. The research house said the new contract would be added to the group’s existing RM1.5bil outstanding order book, while its tender book remained elevated at more than RM2.1bil. “We continue to reiterate KGB as one of our top picks for the sector, given its ability to consistently deliver strong earnings as it approaches the next semiconductor wave,” Kenanga Research said. The company said the job would start this month and is expected to be completed by January 2026. The company, which has a presence in multiple markets such as Malaysia, Singapore and China, also has strong earnings visibility underpinned by robust order book and tender book exceeding RM1bil.

Source: The Star January 10, 2024 20:23 UTC