Date of Report: October 25, 2024
Broker: CGS International
Overview
Karex Berhad is a Malaysian company recognized as one of the world’s largest manufacturers of condoms. In addition to condoms, the company also produces other rubber-based products, including personal lubricants and medical gloves. Karex serves a global market, exporting its products to over 140 countries.
Stock Performance
Karex is included in CGS International’s actively managed portfolio with a positive outlook. The stock was last traded at RM0.845, slightly down from its entry price of RM0.865. Despite this, the stock remains a part of the portfolio, reflecting an optimistic long-term view.
Technical Indicators
- Entry Price: RM0.865
- Current Price: RM0.845
- Stop Loss: RM0.775
- Target Prices: RM0.895, RM0.96
- Position: BUY
- Profit/Loss: -2.3%
Recent Performance Analysis
As of the latest update, Karex’s stock has seen a slight decline of 2.3% from its entry price. However, the company maintains its position within the portfolio, indicating confidence in its long-term recovery and growth potential. Karex’s market reach and product diversification provide a solid foundation for future performance.
Investment Strategy
The report suggests maintaining a buy position for Karex, with target prices set at RM0.895 and RM0.96. The recommended stop-loss is at RM0.775, providing a safety net to manage potential downside risks. Karex’s strategic market expansion and robust production capacity are seen as key drivers for its growth prospects.
Analyst Commentary
CGS International remains positive on Karex’s ability to navigate market challenges, supported by its diversified product range and strong international presence. The slight dip in the stock’s current price is viewed as temporary, with expectations of recovery as the company continues to expand its market reach. Investors looking for exposure to a global leader in the healthcare and rubber products sector might find Karex an attractive option.
Source: CGS International Trendspotter, October 25, 2024.
