Saturday 13 Apr 2024
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KUALA LUMPUR (Jan 31): Hong Leong Investment Bank (HLIB) Research said MCE Holdings Bhd is poised to establish a higher high formation, reinforced by a white long bullish candlestick formed on Tuesday, and heightened trading volume.

In a technical tracker note on Wednesday, the research house said a successful breakout above RM1.68 will spur the price towards RM1.78-RM1.85-RM1.94.

“[We recommend to] cut loss at RM1.39,” it said.

HLIB said that looking ahead to 2024, it anticipates Perodua and Proton sales to remain strong, driven by appealing pricing factor and an exciting pipeline of new models.

The research house said that in line with Perodua’s launching strategy of one full model change and one facelift per year, the carmaker is poised to launch the D66B in the first quarter and the Bezza facelift model in the fourth quarter.

“Given the Bezza's status as Perodua's bestselling model and the increasing popularity of B-segment sport utility vehicles, we anticipate significant interest in these models upon launch, contributing positively to Perodua’s overall sales volume.

“As for Proton, its Geely-based models, equipped with advanced features and competitive pricing, are expected to excel in the market,” it said.

Moreover, HLIB said Proton's planned launches of the highly sought-after X50 and X70 facelift models in 2024, along with the newly launched S70 that had garnered strong interest (set to deliver in 2024), are poised to further strengthen its market position.

“As a Tier 1 supplier with a proven track record in supplying components for all Perodua and Proton models, we see MCE as a proxy for the anticipated strong sales performance in the automotive sector,” the research house said.

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