Kenanga downgrades gloves sector, sees oversupply persisting

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Specifically, it said industry leader Top Glove Corp Bhd’s recently released results are already indicating weaker earnings ahead for glove makers suggesting that earnings have yet to bottom out.

KUALA LUMPUR (June 23): Kenanga Research has downgraded the gloves sector to “Underweight” (from Neutral) and said indications from its supply-demand analysis are pointing towards excess capacity in the sector spanning the next two years.

In a note on Thursday (June 23), the research house said it expects the weak operating environment to continue to weigh down glove makers over the medium term to long-term.

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Category: InvestingFinance

Topics: Medium Earnings Research Sen) Makers Utilization Industry Term Corp Glove House

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Published On: 2022-06-23, 00:52:37

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Language: English

Reading Time: 2 minutes read

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