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Research by TA
Sell – TP of RM1.11

“Whispers of Challenge”

We came away from our recent meeting with CHINWEL management feeling less upbeat about the outlook of the company. Key takeaways include: 1) sales volume for fastener remains subdued in the near term, 2) bleak earnings outlook for wire division as it awaits contract from ECRL, and 3) higher compliance cost to fulfil carbon tariffs and ESG requirements. We maintain our Sell call on CHINWEL with an unchanged target price of RM1.11 premised on PER 9x CY25 EPS.

Analyst(s):
Raymond Ng Ing Yeow 
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$KLSE-CHINWEL
Research by TA
Sell – TP of RM1.11

“Whispers of Challenge”

We came away from our recent meeting with CHINWEL management feeling less upbeat about the outlook of the company. Key takeaways include: 1) sales volume for fastener remains subdued in the near term, 2) bleak earnings outlook for wire division as it awaits contract from ECRL, and 3) higher compliance cost to fulfil carbon tariffs and ESG requirements. We maintain our Sell call on CHINWEL with an unchanged target price of RM1.11 premised on PER 9x CY25 EPS.

Analyst(s):
Raymond Ng Ing Yeow 
raymondng@ta.com.my

$CHINWEL / 5007 (CHIN WELL HOLDINGS BERHAD)