AS the world is turning to electrification, Malaysia has started to get the ball rolling. Malaysia has a strong input industry with many local companies playing a role in the global electric vehicle (EV) supply chain, such as semiconductors, battery assembly and copper wire manufacturing. With all the supporting policy measures online, the electric vehicle market in Malaysia is expected to grow exponentially.
Despite a slow start and still lagging behind its Asian peers, Malaysia is well on its way to transforming its automotive industry and Malaysia’s electric vehicle industry is well positioned to grow.
Here are the top seven electric vehicle stocks in Malaysia:
Greatech Technology Bhd
Greatech is a leading production equipment supplier for lithium-ion battery modules and packs. It specializes in key battery production technologies such as laser, adhesive dispensing and robotic handling, and testing. Its key technologies can be separated into EV battery module assembly line and EV battery pack assembly line. Management expects to receive an order backlog worth RM500 million for FY22 with a total of RM300 million or 60% of its order backlog being filled by the electric vehicle industry .
D&O Green Technologies Bhd
D&O Green Technologies develops semiconductor application technology, installation, electronic components, electrical equipment for lighting, electronic display screen and luminaries for electric vehicles. We believe that D&O is well positioned to capture the greater demand from the electric vehicle industry as it manufactures smart LEDs for this sector.
While most of D&O’s operations are operating at full capacity at the moment, the company also aims to increase capacity by 20% to 30% per year over the next five years to meet the overwhelming demand for LEDs as more and more new car models are being rolled out, particularly in the electric vehicle segment.
Pestech International Bhd
With the rapid expansion of the electric vehicle market, Pestech has also taken additional steps to promote green energy initiatives by deploying electric vehicle charging infrastructure in various locations. The EV charger is designed for installation (indoors and outdoors) in private homes, communal blocks, businesses, reserved parking spaces and other places where user authentication is not required. is not a requirement.
Malaysian Pacific Industries Bhd
Malaysian Pacific Industries benefited from the growth of electric vehicles with a recovery in sensor shipment volume, driven by the recovery of the global automotive and electric vehicle market in fiscal 2021. With the increasing adoption of silicon carbide in electric vehicles due to increased efficiency and extended ranges as well as lower cost for these vehicles, MPI is expected to be the beneficiary given its unique position as an exclusive backend service provider for Cree.
Pentamaster Corp Bhd
Similar to MPI, Pentamaster will benefit from the growing penetration of SiC in EV power management applications by seizing opportunities in the EV battery market. The automated test equipment (ATE) supplier expects increased demand for its assembly and test equipment due to increased orders from global automotive component companies in Europe, the United States and the United States. China. In 2021, the automotive industry continued to dominate the ATE segment, contributing 44.6% of its revenue. Moving forward, Pentamaster has its sights set on its next global expansion into Germany as a major market for the automotive industry.
Genetec Technology Bhd
Genetec serves the electric motor vehicle and internal combustion engine, hard drive, electronics, pharmaceutical, semiconductor, and home appliance industries.
Genetec stands to benefit from the growing space for electric vehicles, as countries around the world continue to increase production of these vehicles. In terms of business segment, the space’s EV and battery backlog accounted for 93% of its RM205.6 million in total orders secured since February 2021. It should be noted that the backlog of orders itself was more than twice its revenue for the year. ended on March 31, 2021. To meet larger orders from key customers, Genetec increased its electric vehicle battery production capacity and commissioned new plants in Europe and North America during the second half of 2021.
KESM Industries Bhd
KESM is the largest independent break-in and testing services company in the world. The shift to electric vehicles will create a higher demand for electronic content, which will benefit the chip supplier. Testing and running-in is essential for cars and protects digital information and the growing needs for data analysis in connected cars.
This article is provided by the iFast Research team.
