PublicInvest sees 16pct upside for GB Bond ahead of ACE Market debut
KUALA LUMPUR: Public Investment Bank Bhd (PublicInvest) has assigned a fair value of 29 sen to GB Bond Holdings Bhd, based on a price-to-earnings ratio of 9.5 times its forecast earnings per share for the financial year ending 2027 (FY27).
PublicInvest has assigned a price of 29 sen to GB Bond Holdings Bhd's GB Bond, based on anticipated earnings growth. The investment bank predicts earnings per share will increase at a compound annual rate of 20 per cent, reaching RM14 million by FY28. This growth is expected to be driven by regional expansion, higher production facility utilisation, advanced formulations, and intensified marketing.
In the longer term, PublicInvest anticipates support from planned industrial adhesives and sealants capacity expansion, as well as regional growth in Vietnam. GB Bond plans to boost its manufacturing capacity by renting a 40,000 sq ft factory near Bukit Panchor and adding machinery, which should increase its industrial adhesives production by 35.3 per cent to 31,971 tonnes.
Additionally, GB Bond intends to introduce two new production lines for sealants, tripling its capacity to 1,422 tonnes, which will enhance its ability to support sales growth and provide cross-selling opportunities with existing customers.
Written by urgent.news from New Straits Times's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
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