14/05/2026

BIZ & FINANCE THURSDAY | MAY 14, 2026

20

MARKETS/FROM THE BROKERS

SUNBIZ presents extracts of a selection of commentaries and research reports received from stockbrokers on counters that could be of interest to investors.

DISCLAIMER: The information is extracted from stockbrokers’ commentaries and research reports and do not represent the views or opinions of Sun Media Corporation Sdn Bhd. It is not a solicitation, recommendation or an offer to buy or sell the equities featured. Sun Media Corporation shall not be liable or responsible for any consequences resulting from usage of the information.

[ Compiled by SunBiz Team

Malaysia natural rubber output down 8.2% in March KUALA LUMPUR: Malaysia’s natural rubber (NR) production decreased by 8.2% to 21,310 tonnes in March 2026, compared to 22,124 tonnes in February 2026, according to the Department of Statistics Malaysia (DoSM). In a statement, DoSM said NR production in March 2026 was mainly contributed by smallholders (87.8%) compared to estates (12.2%). Similarly, NR production also decreased by 29.3% year-on year (y-o-y) from 28,739 tonnes in March 2025. At the same time, total NR stocks decreased by 1.8% month on-month (m-o-m) to 139,174 tonnes (February 2026: 141,697 tonnes). “Rubber processors factory accounted for 79.1% of the stocks, followed by rubber consumers factory (20.8%) and rubber estates (0.1%),” it said. Meanwhile, exports of Malaysia’s NR decreased by 2.2% m-o-m to 33,137 tonnes in March 2026 (February 2026: 33,897 tonnes). DoSM said China remained the main destination for NR exports, accounting for 44% of total exports in March 2026, followed by Germany (18.1%), Portugal (4.6%), the US (4.4%), and Brazil (3.9%). “The export performance was contributed by NR-based products such as rubber gloves, tyres, tubes, and rubber thread. “Rubber gloves were the main exports of rubber-based products worth RM920 million in March 2026, an increase of 3.8% m-o-m (February 2026: RM880 million),” it said. In terms of the average monthly price, concentrated latex rose to 665.40 sen per kg in March 2026 as compared to 586.69 sen per kg in February 2026, an increase of 13.4% m-o-m. – Bernama

THE ringgit closed higher against the US dollar and other major currencies yesterday, supported by improved sentiment towards Asian currencies ahead of the high-stakes meeting between US President Donald Trump and Chinese President Xi Jinping this week. At 6pm, the ringgit appreciated to 3.9285/9325 against the greenback from 3.9320/9360 at Tuesday’s close. Bank Muamalat Malaysia Bhd chief economist Mohd Afzanizam Abdul Rashid said Asian currencies were seen strengthening against the US dollar as markets looked forward to the meeting, scheduled for May 14-15. “The market appears to be hoping for a positive outcome from the meeting, especially on issues surrounding the war in Iran and the Strait of Hormuz,” he told Bernama. Nonetheless, Mohd Afzanizam said the situation remained fluid, and market sentiment could easily shift towards risk aversion. At the close, the ringgit traded higher against a basket of major currencies. It appreciated against the Japanese yen to 2.4888/4916 from 2.4952/4979, strengthened versus the British pound to 5.3105/3160 from 5.3231/3286, and bagged against the euro to 4.5987/6034 from 4.6189/6236 at Tuesday’s close. The local currency traded mostly lower against regional peers. It gained against the Singapore dollar to 3.0872/0906 from 3.0888/0922, but fell against the Indonesian rupiah to 224.7/225.1 from 224.3/224.6, shed against the Philippine peso to 6.40/6.41 from 6.39/6.41, and shaved against the Thai baht to 12.1419/1599 from 12.1276/1455 previously. Ringgit rises against dollar, major currencies ahead of US-China meeting

Exchange Rates

FOREIGN CURRENCY

SELLING TT/OD

BUYING TT

BUYING OD

1 US Dollar

4.0050 2.9050 3.1400 2.9140 4.6910 2.3860 3.1400 5.4100 5.1480 3.3140 59.1700 64.3600 51.5400 4.2600 0.0239 2.5530 44.6100 1.4900 6.5900 110.6900 107.5300 25.0500 1.3000 44.2800 12.8800 109.9700 N/A

3.8570 2.7860 3.0400 2.8310 4.5350 2.2960 3.0400 5.2330 4.9260

3.8470 2.7700 3.0320 2.8190 4.5150 2.2800 3.0320 5.2130 4.9110

1 Australian Dollar 1 Brunei Dollar 1 Canadian Dollar 1 New Zealand Dollar 1 Singapore Dollar 1 Sterling Pound 1 Swiss Franc 100 UAE Dirham 100 Bangladesh Taka 100 Chinese Renminbi 100 Danish Krone 100 Hongkong Dollar 100 Indian Rupee 100 Indonesian Rupiah 100 Japanese Yen 100 New Taiwan Dollar 100 Norwegian Krone 100 Pakistan Rupee 100 Philippine Peso 1 Euro

104.1900 3.0850 56.6300 59.1700 48.9300

103.9900 2.8850 58.9700 48.7300 3.7600 0.0161 2.4240 40.8100 1.1300 6.0000 104.8800 101.8800 22.4200 0.9300 40.1000 11.0100 N/A N/A

3.9600 0.0211 2.4340

N/A

41.0100 1.3300 6.2000 105.0800 102.0800 22.6200 1.1300 40.3000 11.4100

100 Qatar Riyal 100 Saudi Riyal

100 South Africa Rand 100 Sri Lanka Rupee 100 Swedish Krona

100 Thai Baht

Source: Malayan Banking Bhd/Bernama

Economy Jobless rate holds steady

Inari Amertron Bhd Neutral. Target price: RM1.86

Westports Holdings Bhd Buy. Target price: RM6.55

May 13, 2026: RM1.94

May 13, 2026: RM5.76

Source: Bloomberg

Source: DOSM, TA Research

Source: PublicInvest Research

INARI Amertron Bhd (Inari) announced that a fire occurred on May 10 at its wholly owned subsidiary Amertron Incorporated in the Philippines, affecting part of the manufacturing facility within plant CK1 in Clark, Philippines. We view the incident as operationally disruptive in the near term but financially manageable based on the company’s preliminary disclosure. The estimated loss of US$5m (RM20m) would represent less than 1% of shareholders’ equity of RM3.1 billion and about 10% of our FY26 earnings forecast. Preliminary investigations suggest that the fire incident may have originated from a wiring short circuit in the ceiling area of the affected facility. Importantly, no fatalities or injuries were reported. According to the company, the fire affected part of the production floor, including certain machinery, inventories and supporting facilities. Assessments of the extent of damage and the exact cause of the incident are currently being conducted by the relevant authorities and insurers. The affected area comprises approximately 12,500 sq ft, representing about 10% of CK1’s total manufacturing space of 125,000 sq ft. Operations at the affected facility have been temporarily suspended pending safety inspections and clean-up works. Meanwhile, operations in the unaffected sections of CK1 are also temporarily halted due to a mandatory power shutdown imposed by the Fire and Rescue Authority. The company expects operations to resume once approval is obtained and dedicated power lines are installed. We do not rule out temporary operational disruptions arising from i) production transfer and reallocation costs, ii) potential shipment delays to customers, iii) higher logistics and expedited delivery expenses and iv) temporary utilisation inefficiencies. NEUTRAL with RM1.86 TP. – PublicInvest Research, May 13

MALAYSIA’s labour force participation rate remained firm at 70.9% in March 2026, supported by continued employment growth and a low unemployment rate. The labour force continued to expand during the month, albeit at a modest pace, rising by 0.03% YoY (0.1% MoM) to 17.313 million persons. Total employment increased by 0.2% YoY (0.1% MoM) to 16.8 million persons during the month, underpinned by broad-based job creation across most major economic sectors. The services sector remained the biggest contributor to total employment in March 2026, led by accommodation & food services, information and communication, and transportation and storage activities, supported by strong domestic demand, tourism and digitalisation trends. The manufacturing, construction and agriculture sectors also recorded increases in employment, supported by ongoing investment activities, infrastructure projects and steady commodity-related demand. Meanwhile, employment in the mining & quarrying sector registered a slight decline during the month, likely reflecting cautious hiring sentiment amid external geopolitical tensions, oil price volatility and temporary disruptions in global energy-related activities. The moderation in mining employment may also be linked to maintenance activities and slower production adjustments within the crude oil and natural gas segments. In addition, the employees’ category represented 75% and recorded a modest increase of 0.04% MoM (-0.1% YoY) to 12.6 million persons, compared with 12.59 million persons in February 2026. The number of own-account workers also improved, registering a 0.3% MoM (-0.1% YoY) rise to 3.14 million persons from 3.13 million in the previous month. – TA Research, May 13

WPRTS is expected to announce Q1’26 results on May 15. We forecast core PATAMI to reach RM270-300 million, tracking towards a full-year target of RM1.1-1.2 billion. This earnings trajectory is underpinned by higher throughput, backed by the healthy yard density at 70-80% despite the Middle East conflict. Furthermore, the tariff hike provides a significant tailwind to margins while the higher fuel costs only kicked in at end-February. We maintain our WPRTS’ container volume growth forecast at 4.5%, in line with RHB Economics’ unchanged Malaysia’s GDP growth forecast of 4.7% in 2026. Notably, its container volume growth has exhibited a +0.90 correlation with Malaysia’s GDP growth over the 2010-2025 period. RHB Economics expects the growth to be supported by resilient domestic demand and E&E exports. Also, Malaysia appears to be the least affected among Asean economies under the current conflict scenario. Media reported that the Transport Ministry (MOT) will establish mechanisms for port operators to cushion the higher fuel costs. WPRTS procures diesel at unsubsidised prices, with fuel consumption spanning its tugboats, trucks, and yard cranes. Hence, we believe the current environment presents an appropriate window for the government to establish price mitigation mechanisms to cushion the higher fuel costs. Notably, the group is deploying 60 EV trucks in Q3’26, cutting 10% of its diesel consumption. Key risks: A prolonged or intensified escalation of the Middle East conflict could lift oil prices and weigh on growth. If elevated oil prices persist through Q3’26 alongside supply disruptions, 2026 GDP growth may ease to 4%. The impact of this would be 3.6% container volume growth in 2026. BUY with RM6.55 TP.– RHB Research, May 13