Kingboard Laminates Holdings Limited

Citi highlights that Kingboard Laminates has implemented significant price increases across FR4, CEM and prepreg laminates as well as copper foil, leading it to raise 2026–2028 EPS forecasts by around 11–12% and lift its target price from HK$120 to HK$130 while maintaining a Buy rating. It argues that the recent share price pullback is driven more by sector-wide sentiment than company-specific fundamentals and views this correction as a buying opportunity, while noting risks linked to broader market volatility and the AI hardware cycle.

Everbright Securities reviews Kingboard Laminates’ FY2025 results, noting revenue of HKD 20.40 billion (+10% year-on-year) and net profit of HKD 2.442 billion (+83.6%), with gross and net margins expanding on strong demand and multiple laminate price increases, and accordingly raises its 2026–2028 net profit forecasts while maintaining a Buy rating. The report emphasises the company’s vertically integrated supply chain and high-end electronic fiberglass yarn and cloth businesses as key profit drivers, but flags risks around demand sustainability, raw material price volatility and the execution of planned capacity expansions.

This Citi note discusses Kingboard Laminates’ positive profit forecast, with net profit expected to grow by over 80% year-on-year to more than HKD 2.39 billion, prompting the broker to raise its earnings forecasts for 2025–2027 and increase the target price from HK$20.5 to HK$28 while reiterating a Buy rating. The bank cites anticipated further average selling price increases to catch up with copper cost inflation and management’s guidance on AI glass fabric development as key catalysts, while acknowledging that the strong year-to-date share price performance could lead to corrections that it would view as attractive entry points.

Everbright Securities initiates coverage on Kingboard Laminates as a vertically integrated global leader in copper-clad laminates, forecasting net profit attributable to shareholders of HKD 2.17 billion, 3.952 billion and 4.837 billion in 2025–2027 and arguing that corresponding P/E ratios of about 27x, 15x and 12x sit below comparable peers, supporting a Buy rating and scope for valuation re-rating. The report highlights structurally rising demand for high-frequency, high-speed copper-clad laminates driven by AI servers and 5G/6G, the company’s strong pricing power and upstream expansion into low-dielectric glass fiber yarn and copper foil, while warning that weaker-than-expected downstream demand, raw material price swings or delays in capacity ramp-up and technology upgrades could undermine the thesis.