Kingboard Laminates Soars on Record Profit and Bullish AI Outlook
Kingboard Laminates, a Hong Kong-based electronic materials maker, saw its shares surge over 8% after Citigroup raised its target price to HK$95 (approximately $12) due to the company's strong earnings outlook. The company's first-half profit rose by 209.28% year-on-year, driven by the accelerating industrialization of artificial intelligence (AI).
Kingboard Laminates posted a record monthly high profit of approximately HK$1.1 billion (approximately $140.4 million) in July, benefiting from the shortage of copper-clad laminates and upstream materials.
Citigroup analyst Eric Lau noted that the company's 94% compound annual growth rate in earnings per share over the next three years, combined with a still-low price-to-earnings ratio at current share levels, suggests the market has yet to fully reflect its growth potential.