0234 GMT - Top Glove could post sequentially stronger earnings in the remaining quarters of FY 2025, given it expects annual core net profit of 87.7 million ringgit versus core net loss of 178 million ringgit in FY 2024, CIMB Securities' Walter Aw Lik Hsin says. He expects Top Glove to benefit from rising glove demand globally, particularly from U.S. customers. Higher U.S. tariffs on Chinese medical gloves from 2025, concerns about China's glove quality and the country's depleted pandemic-era stockpiles are likely to boost demand for Malaysia-made gloves, the analyst adds in a note. However, CIMB Securities thinks the Malaysian glove maker's current valuations have largely priced in an improved outlook and brighter earnings prospects. It downgrades Top Glove's rating to hold from buy and raises the target price to MYR1.40 from MYR1.20. Shares are 3.0% higher at MYR1.36. (yingxian.wong@wsj.com)
(END) Dow Jones Newswires
December 22, 2024 21:34 ET (02:34 GMT)
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