UG Healthcare exceeds expectations in 2Q21, analysts optimistic

Following a stellar 2QFY2021 performance, analysts have maintained their “buy” or “add” calls on UG Healthcare, but some have lowered their target prices. 

CGS-CIMB’s Ong Kang Chuen maintained his $1.70 target price on the stock, expecting “stronger quarters ahead” due to a further rise in average selling prices (ASP) of rubber gloves. 

UGHC recorded a 2QFY2021 net profit of $32.3 million, 42% higher q-o-q and a jump of 58 times y-o-y. This was ahead of his expectations, which had forecast a $30m net profit for the quarter.