CEO Morning Brief

Inari Climbs to Highest in Over Two Years Amid Wall Street Tech Rally

Publish date: Thu, 13 Jun 2024, 10:39 AM
0 23,806
TheEdge CEO Morning Brief

KUALA LUMPUR (June 12): Inari Amertron Bhd (KL:INARI) soared to its highest in over two years on Wednesday, tracking the overnight rally at Wall Street with the S&P 500 and Nasdaq registering record closing highs.

The counter climbed as much as 48 sen or 13.7% to an intraday high of RM3.96, before settling at RM3.80 on market close, still up 32 sen or 9.2%, giving Inari a market capitalisation of RM14.31 billion. The last time it was trading at such levels was around January 2022.

It saw some 64.96 million shares change hands, more than double its 200-day average volume of 9.49 million shares.

According to Bloomberg data, the stock has exceeded its consensus 12-month target price of RM3.53.

Among the 20 institutional analysts covering the stock, 13 pegged the stock on 'buy', six recommended 'hold', while one suggested 'sell'. Year to date, Inari has gained over 26%.

Meanwhile, the Technology Index of Bursa Malaysia rose 2.6% or 1.60 points to 79.22. Since the beginning of the year, the index has grown by more than 24%.

Other tech stocks that gained were Malaysian Pacific Industries Bhd (KL:MPI) (up 3.58% to RM39.90), KESM Industries Bhd (KL KESM) (up 4.32% to RM6.52), Frontken Corp Bhd (KL:FRONTKN) (up 3.15 to RM4.58), and Unisem (M) Bhd (KL:UNISEM) (up 2.16% to RM4.26).

According to a Bloomberg report, the S&P 500 and Nasdaq 100 stock benchmarks soared to all-time highs on Tuesday, propelled by a surge in Apple Inc shares following the company's announcements about incorporating artificial intelligence features into its smart phones.

In a research note dated June 10, TA Securities Holdings Bhd expects the sentiment of the local semiconductor sector to improve further, backed by an anticipated healthy recovery in global demand and increasing trade diversion opportunities as a result of the China Plus One strategy.

“Within our universe, we have a “buy” recommendation on Inari (target price: RM4.30).

“Key downside risks [for the semiconductor sector] include heightened geopolitical tensions weighing on economic growth and disrupting supply chains, weaker-than-expected sales, and weakening of the US dollar against the ringgit,” it added.

Source: TheEdge - 13 Jun 2024

Related Stocks
Market Buzz
Be the first to like this. Showing 0 of 0 comments

Post a Comment