21/05/2026

BIZ & FINANCE THURSDAY | MAY 21, 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

Skyechip debuts on Bursa Main Market at RM3.50 KUALA LUMPUR: SkyeChip Bhd, a Penang-based integrated cir cuit (IC) design company specialising in the design and develop ment of silicon intellectual property and custom application spe cific integrated circuit, made its debut yesterday on the Main Market of Bursa Malaysia Securities Bhd. The company’s shares opened at RM3.50 per share, representing a 297.73% premium over its initial public offering (IPO) price of RM0.88 per share, with an opening volume of 23,212,500 million shares recorded at 9am yesterday. As the IPO involves only the issuance of new shares, the entire proceeds from the IPO accrues directly to the company. Approximately 60% of the IPO proceeds will be channeled into research and development activities for the proprietary silicon IP portfolio and silicon products of the group and its subsidiaries, serving applications such as artificial intelligence, high-performance computing, data centres and Advanced Driver Assistance Systems. Approximately 16% of the IPO proceeds will be allocated towards the expansion of the group’s operational facilities, computing infrastructure and laboratories, while approximately 10% of the IPO proceeds will be used to subscribe for advanced Electronic Design Automation and development software tools, which are essential to the group’s IC design operations. The remaining proceeds will be used for the group’s working capital and to defray fees and expenses in relation to the IPO. SkyeChip’s IPO received strong demand from both retail and institutional investors. Maybank Investment Bank Bhd is the principal adviser, lead bookrunner, joint bookrunner, managing underwriter and joint underwriter for the IPO.

THE ringgit firmed against the US dollar yesterday as market senti ment improved on the back of Malaysia’s trade performance, which rose 28.6% year-on-year (y-o-y) to a record RM336.73 billion in April 2026. At 6pm, the ringgit edged up to 3.9675/9715 versus the greenback from 3.9745/9785 at Tuesday’s close. The Ministry of Investment, Trade and Industry (Miti) earlier reported that the higher export figures were driven mainly by strong exports of electrical and electronic (E&E) products. Malaysia’s trade maintained strong momentum in April 2026 with exports and imports reaching record highs despite heightened global uncertainties, including geopolitical tensions in West Asia that led to higher logistics costs, supply chain disruptions and commodity price volatility. Miti also said exports extended their growth momentum for the 10th consecutive month, surging 36.9% to a record RM182.74 billion, surpassing the previous high of RM152.77 billion recorded in December 2025 by RM30 billion, while imports rose 20% to RM153.99 billion. At the close, the ringgit traded higher against a basket of major currencies. It strengthened versus the Japanese yen to 2.4942/4969 from 2.4980/5006 and appreciated against the euro to 4.5975/6022 from 4.6180/6226 at Tuesday’s close and gained against the British pound to 5.3089/3143 from 5.3282/3336 previously. At the same time, the local currency traded mixed against regional peers, rising against the Singapore dollar to 3.0969/1003 from 3.1022/1055 at Tuesday’s close and rose against the Thai baht to 12.1341/1516 from 12.1719/1898. – Bernama Ringgit firmer on stronger export performance

Exchange Rates

FOREIGN CURRENCY

SELLING TT/OD

BUYING TT

BUYING OD

1 US Dollar

4.0530 2.8860 3.1530 2.9380 4.6970 2.3640 3.1530 5.4220 5.1580 3.3670 59.6900 64.4300 52.1300 4.2800 0.0239 2.5630 44.7100 1.5100 6.6500 112.1300 108.8700 25.0700 1.2900 44.3200 12.9100 111.3100 N/A

3.9080 2.7700 3.0560 2.8560 4.5450 2.2770 3.0560 5.2490 4.9400 3.1230 57.1700 59.3000 49.5400 3.9700 0.0211 2.4450 41.1300 1.3500 6.2500 106.4400 103.3500 22.6400 1.1200 40.3700 11.4500 105.5400 N/A

3.8980 2.7540 3.0480 2.8440 4.5250 2.2610 3.0480 5.2290 4.9250

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

105.3400

2.9230

N/A

59.1000 49.3400 3.7700 0.0161 2.4350 40.9300 1.1500 6.0500 106.2400 103.1500 22.4400 0.9200 40.1700 11.0500 N/A

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

April 2026 CPI Transport inflation up further

Kerjaya Prospek Group Bhd Buy. Target price: RM3.11

Wasco Bhd Buy. Target price: RM1.37

May 20, 2026: RM0.895

May 20, 2026: RM2.07

Source: PublicInvest Research

Source: Bloomberg

Source: Bloomberg

THIS is KPG’s fourth job win for FY26 and the second one secured in Negeri Sembilan. The maiden job clinched in Negeri Sembilan was the RM98.8 million contract from Sena Letrik (M) for the main building, mechanical & electrical and external works for a proposed private hospital at Bandar Seremban Utama, Seremban 2. YTD-FY26 new job wins now amount to RM976.5 million or 49% of our FY26 job win replenishment target of RM2 billion while the balance orderbook stands at RM4.3 billion. We expect PAT margin for the latest project to be in the range of 8-10%. Andaman Island in Penang is targeting to see RM1 billion GDV worth of launches per year by Eastern & Oriental, which likely covers a waterfront project. This should potentially translate into RM400-500 million of contract value for KPG. Despite planning no launches on its 89 acres of landbank in FY26, we view the completion of The Vue and Papyrus in FY26 to enable some writeback of provisions, which could happen in FY26 and FY27 and support the property arm before some launches commence later in FY27 for the land in Jalan Puchong (7.4 acres with an estimated RM800 million GDV) and Tanjung Bungah (4.5 acres with a RM830 million GDV). Any wins from the industrial space to be a rerating catalyst. The last time KPG secured a major project with Samsung C&T (SCT) was back in Oct 2022 and Sept 2023 for the Texas Instruments’plant in Malacca worth RM450 million (30% effective share) and RM203 million (for concrete structure works). BUY with RM3.11 TP. – RHB Research, May 20

MALAYSIA’S headline CPI edged up to +1.9% YoY in April 2026 from +1.7% in March, driven mainly by a sharper rise in Transport inflation to +4.1% from +1.6%, with additional support from firmer increases in Alcoholic Beverages & Tobacco, Information & Communication, Food & Beverages and household-related items. Elsewhere, most categories were either stable or softer on a YoY basis, while Clothing & Footwear remained in mild deflation at -0.1%. We think the April outcome reflects a more visible lift in selected components rather than a broad-based re-acceleration in underlying inflation, suggesting that price pressures remain manageable for now. State-level inflation remained broadly contained in April, with most states still printing below the national headline rate of +1.9% YoY. Sarawak recorded the lowest pace at +0.4% YoY, suggesting that regional price pressures were still generally manageable. That said, eight states came in above the national average led by Pahang at +2.8% and Wilayah Persekutuan Labuan at +2.7%, followed by Negeri Sembilan and Wilayah Persekutuan Kuala Lumpur at +2.5%, Johor at +2.4% and Sabah, Wilayah Persekutuan Putrajaya and Selangor at +2.1% to +2%. We keep our 2026 CPI forecast at +2.4% YoY, but with less comfort than before. We still think Malaysia’s inflation profile is better characterised as cost-push rather than demand-pull, and that remains the key distinction for policy. The current Middle East shock is no longer confined to crude alone, but is increasingly feeding through freight, insurance, petrochemicals, fertiliser, animal feed, grain, industrial gases and other intermediate inputs. – PublicInvest Research, May 20

REVENUE declined by 23.8% QoQ to RM451.2 million, mainly reflecting softer contribution from the energy services (-24.3% QoQ) and renewables (-20% QoQ) segments. The weaker energy services performance was primarily due to deferred execution of awarded projects arising from supply chain disruptions linked to the ongoing Middle East conflict, while the decline in renewables was attributed to lower deliveries of steam turbine generating systems and reduced after-sales activities. This was partially offset by higher EPCC activities for steam energy systems. Consequently, core net profit fell 77.5% QoQ to RM13.6 million, after adjusting for one-off items and impairment reversals. As at Q1’26, the group’s orderbook stood at RM2.6 billion (-8.5% QoQ), reflecting continued replenishment from newly secured projects. The orderbook comprises 43% engineering, 47% pipeline, and 10% bioenergy projects. We expect pipeline coating activities to gain traction only in 2H’26, as several projects remain deferred in the near term. On the project front, the Kikeh FPSO contract is expected to be awarded by Q2’26, where Wasco’s available yard capacity could potentially position the group to secure 1-2 additional module packages. A potential easing of geopolitical tensions could also support the resumption of deferred energy infrastructure projects and repair activities, thereby increasing demand for pipeline coating and engineering services. We trim our FY26 earnings forecast by 21% to reflect weaker near-term execution following project deferments arising from ongoing supply chain disruptions. BUY with RM1.37 TP. – RHB Research, May 20