The Global Point

Research evidence excerpt

The Global Point

easing and price hikes start offsetting. For L&T, we expect a soft quarter on Middle

East impact, but more importantly, focus now moves to the potential pace of a 2H

recovery. For defense, the demand backdrop remains constructive: FY26 closed

with strong DAC approvals of ~Rs6.7trn, followed by Rs520bn on 3rd July. We

open a 90-day positive catalyst watch on Bharat Electronics.

Mohit Pandey | Anusha Madireddy

Kingboard Laminates Holdings (1888.HK) - Higher-than-expected ASP Inflation

of 15% on CCL and Others in July; Raise TP to HK$130

KBL announced it raised ASP of 15% on FR4 CCL, 10% on CEM CCL, 15% on

prepreg. More significantly, KBL started to inflate value-added profit margin of

copper foil at Rmb 5 / kg at 1.5oz and Rmb8 / kg at 2oz, which implies over 25%

price inflation. In view of higher-than-expected inflation, we raise our earnings

estimates by 11-12% during 2026-28E and lift our TP to HK$130 (from HK$120).

We think the recent stock correction is dragged by 1) market rotation away from

expensive AI hardware into non-tech given negative sentiment from NVDA kyber

delay (CNBC, 5 July) 2) Meta sales of excessive compute power, 3) Hallgain, the

largest shareholder, disposed shares. We see the correction as a buying

opportunity with upcoming catalysts 1) issuance of 1H26E profit alert would likely

beat due to possibly higher-than-expected ASP of e-glass fabric, 2) street

estimate could be upgraded after 1H26E results.

Eric Lau

KBL 1H26E results preview FR4 CCL spot price expected to rise to

Rmb350 / sheet (incl tax) thru end-2026 (unit

price HK$ / sheet in following chart on

reporting currency)

CEEMEA

UAE Real Estate & Property - 2Q25/1H26 Results: What to Expect?

Stock price of the three UAE real estate players we cover (Emaar Properties, Aldar