Cnergenz shares hit three-year high as Q2 profit jumps eightfold

Shares of Cnergenz Bhd reached a three-year high early today, following a significant boost in its second-quarter earnings. The stock opened 5.8% higher at 81.5 sen, before reaching a peak of 90.5 sen during the day. By 9:15 am, it had dipped slightly to 88 sen, still representing an 11 sen or 14.3% increase. Over 4.5 million shares changed hands.

For the Q2 of FY26, Cnergenz's net profit soared to RM8.5 million, up from RM979,000 the previous year, while revenue quadrupled to RM88 million from RM19.8 million, driven by increased sales of SMT manufacturing solutions. For the first half of FY26, net profit rose to RM8 million, and revenue climbed to RM115.56 million from RM39 million in the same period.

Analyst Lee Meng Horng noted that Cnergenz was poised for an earnings recovery, maintaining a Buy rating and raising its target price to 71 sen from 62 sen. He attributed this optimism to a strengthening order book fueled by accelerating AI-driven demand and the commercial launch of its AI tester. The company's order book for FY26 has already surpassed its FY25 revenue, with robust support from accelerated demand for SMT equipment and the rollout of its ODM AI tester.