(Source: Caixin)

Citigroup said that, to address the early-August increase in the cost of electronic-grade fiberglass cloth, Kingboard Laminates Holdings raised the blended average selling price of copper-clad laminates by 10% last week.

August 25, in the Hong Kong stock market, PCB concept stocks saw their afternoon gains further expand. Among them, Kingboard Laminates Holdings (01888.HK) surged more than 12% to lead the sector, Kingboard Holdings (00148.HK) rose 11%, Guanghe Technology (01989.HK) rose more than 5%, and Zhen Ding Technology (02476.HK), Dongyue Group (00189.HK), and Han's Laser (03200.HK) all rose more than 4%.

On the news front, Kingboard Laminates Holdings’ interim profit increased 2.09 times. Citigroup said that, given the company’s July earnings were slightly stronger than expected, it raised its 2026–2028 profit forecasts by 9% to 10% and lifted its target price to HK$95. In its report, Citigroup said that on valuation, the company’s forecast P/E for 2027 is only 7.7 times, and the expected CAGR of earnings per share over the next three years is 94%.

Citi indicated that, to address the early-August rise in the cost of electronic-grade glass fiber fabric, KunTuo stacked laminate will raise the overall average selling price of copper-clad laminates by 10% next week. The line expects that by the end of this year, the average selling price will further increase by 15%–20%. The company plans to add eight additional kilns by 2028, bringing the total number to 13. Of these, two kilns are expected to start production in the second half of 2026, which will enable annual production capacity for special electronic glass fiber fabric in 2028 to reach 100 million meters.