[%jWVC%] 
Research by RHB
Buy (Maintain) – Target Price RM0.98

“Solid Automotive, Dragged By Industrial; BUY’

Maintain BUY, new MYR0.98 TP from MYR0.85, 28% upside with c.1% FY24F yield. 1H23 core earnings missed expectations on the industrial segment’s losses and margins compression dragged by higher input costs and product mix. While the semiconductor-related business’ recovery pace may be a gradual one, JHM Consolidation’s new automotive customer is expected to contribute significantly in FY24 and current valuation is undemanding, considering the relatively strong automotive orders visibility.

Analyst:
Lee Meng Horng 
[%mefd%]

$KLSE-JHM 
Research by RHB
Buy (Maintain) – Target Price RM0.98

“Solid Automotive, Dragged By Industrial; BUY’

Maintain BUY, new MYR0.98 TP from MYR0.85, 28% upside with c.1% FY24F yield. 1H23 core earnings missed expectations on the industrial segment’s losses and margins compression dragged by higher input costs and product mix. While the semiconductor-related business’ recovery pace may be a gradual one, JHM Consolidation’s new automotive customer is expected to contribute significantly in FY24 and current valuation is undemanding, considering the relatively strong automotive orders visibility.

Analyst:
Lee Meng Horng 
lee.meng.horng@rhbgroup.com