RHB Investment Bank Bhd (RHB Research), CIMB Investment Bank Bhd (CIMB Securities) and Hong Leong Investment Bank Bhd (HLIB) have all maintained positive calls (BUY) on Westports Holdings Bhd.
RHB Research is keeping BUY and a target price of RM6.55, CIMB Securities reiterating BUY with a target price of RM6.70 and HLIB also maintaining BUY with a higher target price of RM7.15 as analysts pointed to higher tariffs offsetting fuel cost pressures while earnings remained broadly in line or ahead of expectations across the board.
RHB Research said Westports’ 1Q26 results were within expectations as core net profit rose about 53% year on year to RM341 million, supported by a sequential tariff hike even as throughput softened slightly due to earlier congestion issues.
The house noted that higher fuel costs, driven by a rise in the Mean of Platts Singapore price, were partly offset by a stronger ringgit and efficiency gains, while container volumes had already begun recovering in April.
It added that fuel costs are expected to remain manageable with electric truck deployment and easing congestion, maintaining a BUY rating with RM6.55 target price.
CIMB Securities said Westports’ earnings came in in line at around 28% of estimates, with core profit rising 48.6% year on year on the back of tariff revisions and stronger value-added services.
The research house highlighted improving throughput momentum post-congestion, alongside resilient demand trends heading into the second and third quarters, while acknowledging near-term fuel cost pressures. CIMB Securities maintained its BUY call with an unchanged RM6.70 target price, noting the stock continues to trade below its historical valuation averages.
HLIB said 1Q26 earnings exceeded expectations at about 28% to 30% of full-year forecasts, driven by cumulative tariff increases and operational resilience despite higher expenses. The research house raised FY26 and FY27 earnings forecasts and lifted the target price to RM7.15 from RM6.55, maintaining a BUY recommendation.
HLIB added that sustained tariff-driven earnings growth, improving container volumes and future capacity expansion support the longer-term outlook even amid external geopolitical concerns.
As of 10.16 am, the stock price increased by 3.27% to RM6.
