PublicInvest Research

Technical Buy - LBALUM (9326)

PublicInvest
Publish date: Mon, 03 Jul 2023, 10:46 AM
PublicInvest
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An official blog in I3investor to publish research reports provided by PublicInvest Research team.

All materials published here are prepared by Public Investment Bank Berhad. For latest offers on Public Invest trading products and news, please refer to: https://www.publicinvestbank.com.my/pbswecos/default.asp

PUBLIC INVESTMENT BANK BERHAD (20027-W)
9th Floor, Bangunan Public Bank
6, Jalan Sultan Sulaiman, 50000 Kuala Lumpur
T 603 2031 3011 | F 603 2272 3704 | Dealing Line 603 2260 6718

Description

LBALUM has grown to be one of Asia’s largest aluminium extrusion manufacturers.

Fundamentals

For the aluminium segment, the stabilisation of the global aluminium prices augurs well for LBALUM as the group's primary raw material is aluminium billet. However, the weakening of the RM vis-a-vis the USD has increased the costs of LBALUM's imported billets. In addition, the recent spikes in both electricity and gas prices have eroded the group's margins.

Source: PublicInvest Research - 3 Jul 2023

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