Westports shares jump 10pct to record high, trading volume nears two-year peak
KUALA LUMPUR: Shares of Westports Holdings Bhd surged to a record high following the government's approval of a phased port tariff hike, which analysts say could boost the company's earnings over the next three years.
The stock settled 7.7 per cent or 36 sen higher at RM5.03, with more than 13.65 million shares traded, a level not seen since Sept 18, 2023.
Earlier, the counter opened flat at RM4.67 before rallying nearly 10 per cent to an intraday peak of RM5.12.
Westports has now risen 12 per cent year-to-date from RM4.57 at the start of January.
The rally came after the government approved a staggered 30 per cent increase in tariffs at Port Klang, Westports' home base, to be rolled out over the next 18 months.
Under the new schedule, handling charges for a 20-foot equivalent unit container will rise 15 per cent to RM345 from RM300 effective June 15.
This will be followed by a 10 per cent jump to RM375 on Jan 1, 2026, and another five per cent hike to RM390 on Jan 1, 2027.
RHB Investment Bank said in a research note the revised tariffs could be a game-changer for Westports' bottom line.
However, it cautioned that regional shipping activity may still face headwinds from ongoing geopolitical tensions, particularly the Israel-Iran conflict, which continues to weigh on global trade flows.
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The Sun
23 minutes ago
- The Sun
Middle East tensions put investors on alert, weighing worst-case scenarios
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The Sun
37 minutes ago
- The Sun
Markets eye oil, inflation risks as US mulls Mideast role
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Daily Express
3 hours ago
- Daily Express
Ringgit expected to stay defensive due to Middle East conflict
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