$Top Glove (BVA.SG)$ UOB KH maintain OVERWEIGHT on the Malay...

UOB KH maintain OVERWEIGHT on the Malaysian glove sector. Maintain BUY on Top Glove with target price of RM1.45.

A further precipitous tariff hike and earlier implementation timeline announced by the US authority on China's medical-grade gloves are poised to revitalise investors' sentiment on the Malaysian glove sector. With the sector's post-pandemic recovery eclipsing earnings amid demand moderation, domestic glovemakers should progressively reclaim market share from China, sustaining concrete ASP trajectories and margin upticks.