KENANGA 2H 2024 TOP PICKS SMALL CAP
$OPPSTAR / 0275 (OPPSTAR BERHAD) $KAREX / 5247 (KAREX BERHAD) $TGUAN / 7034 (THONG GUAN INDUSTRIES BERHAD) $MKH / 6114 (MKH BERHAD) $ENGTEX / 5056 (ENGTEX GROUP BERHAD)
OTHERSOPPSTAR BERHAD ("OPPSTAR" OR "COMPANY")
GRANT OF SHARES UNDER OPPSTARS LONG TERM INCENTIVE PLAN ("LTIP")
$OPPSTAR / 0275 (OPPSTAR BERHAD)
Research by Kenanga
Outperform – TP of MYR 1.70
“Growth Building Blocks Put in Place”
OPPSTAR has put in place building blocks for growth, namely, Samsung’s wafer fab collaboration, expansion in the Japanese market and broadening the offerings of its post-silicon validation services. It shared that its recently announced 1QFY24 results could have been stronger had a turnkey project from a Chinese customer come in sooner. We keep our forecasts, TP of RM1.70 and OUTPERFORM call.
Analyst(s):
Samuel Tan
samueltan@kenanga.com.my
$OPPSTAR / 0275 (OPPSTAR BERHAD)
Research by Kenanga
Outperform – TP RM1.70
“Growing Pains, Better Outlook in FY25"
OPPSTAR’s FY24 results disappointed. Its FY24 core net profit fell 34%, weighed down by increased headcount to drive expansion. Oppstar has recently partnered with Samsung’s wafer fab to be an enabler for fabless tech players, in addition to its expansion to Japan and China. We fine-tune down our FY25F earnings forecast by 1% and trim our TP to RM1.70 (from RM1.72). Maintain OUTPERFORM.
Analyst:
Samuel Tan
samueltan@kenanga.com.my
OTHERSOPPSTAR BERHAD ("OPPSTAR" OR "COMPANY")
VARIATION AND EXTENSION OF TIMEFRAME OF THE USE OF PROCEEDS FROM THE INITIAL PUBLIC OFFERING