Kelington set for more contract wins this year, analysts raise outlook
Kelington Group Bhd shares rose following the announcement of a record-breaking RM1.83 billion contract for semiconductor facility services in India. Analysts have maintained 'buy' ratings, citing strong order book growth and the company's expanding footprint in the semiconductor sector.
Why it matters
The contract win signals significant growth in the industrial services sector and highlights the increasing demand for semiconductor infrastructure in India.
BURSA SGX Home Hot Stock Make The Edge Malaysia your preferred source on Google KUALA LUMPUR (Sept 15): Kelington Group Bhd (KL: KGB ) opened higher on Tuesday after the industrial services firm won its biggest contract ever while analysts raised target prices.
The latest win in India is unlikely to be the last major win this year, according to AmInvestment Bank, the most bullish research house on Kelington. There could be sizeable tender outcomes before the year ends, RHB Research said, noting that the company still has bids worth well over RM8 billion.
“We believe order book growth has further room to run,” said AmInvestment, which kept its top-of-the-range target price of RM12.30.
Get smarter about the news
Sign up free for a feed built around what you actually care about, Dive Deeper research on any story, and the full text of every article.
Create free accountAlready have an account? Sign in