Stock Recommendations

Public Bank is renowned for its conservative lending policies and excellent asset quality, maintaining the industry's lowest non-performing loan ratio over the long term. Management focuses on retail banking with a solid customer base. Reasonable valuation and stable dividend policy make it a top choice for defensive investment.

Top Glove faces dual pressures of overcapacity and price declines post-pandemic. Industry competition has intensified with continued margin compression. Although valuation has significantly retreated, fundamental improvement requires time. Recommend reducing positions or staying on the sidelines.

Nestle Malaysia is a local consumer goods leader with a strong brand portfolio including Milo, Nescafe, and other well-known brands. Although valuation is on the higher side, the company has stable cash flow and generous dividend payouts. Recommend holding existing positions while waiting for better entry opportunities.

As one of the largest banks in Southeast Asia, Maybank boasts solid asset quality and strong capital adequacy ratios. With Malaysia's economic recovery, loan growth is expected to accelerate. The dividend yield of approximately 5% makes it suitable for long-term investors. Technical analysis shows the stock price is near support levels with a favorable risk-reward ratio.

Tenaga Nasional, as Malaysia's largest power company, benefits from stable electricity demand and government-supported tariff mechanisms. The company is actively transitioning to renewable energy with promising long-term growth prospects. Current valuation is at historical lows with attractive dividend yield.

Axiata is a regional telecom giant with operations spanning Malaysia, Indonesia, Sri Lanka and other markets. Digital business growth is strong, and 5G deployment is expected to bring new growth momentum. Valuation is relatively low compared to peers, presenting rerating potential.

Petronas Chemicals is Malaysia's largest petrochemical company with a diversified product portfolio. Although the petrochemical cycle is currently at a trough, the company's strong balance sheet enables it to weather the downturn. Recommend waiting for industry cycle recovery signals before adding positions.

IHH Healthcare is Asia's largest private healthcare group, owning renowned hospital brands including Gleneagles and Parkway. With medical tourism recovery and growing local demand, revenue is expected to continue improving. Long-term beneficiary of aging population trends, making it the top pick in the healthcare sector.