Plant utilisation of rubber glove makers improve

PETALING JAYA: While many are still bearish on the glove sector, AmInvestment Bank Research (AmResearch) has an “overweight” call, and is of the view that there is an opportunity for investors to bottom fish for stocks like Hartalega Holdings Bhd and Kossan Rubber Industries Bhd.

It notes that the recent share price weaknesses for Hartalega and Kossan were predominantly due to the market pricing in the weaker-than-expected results reported by both companies last month, as investors were sceptical on the timeliness of demand recovery.