PETALING JAYA: Genetec Technology Bhd
has seen a recent pullback in its share price mainly due to growing concerns over moderating electric vehicle (EV) demand, triggered most recently by US-based car rental company Hertz scaling back on EVs.
However, CGS-CIMB Research believes that this is a good buying opportunity, with catalysts from strong order wins from the company’s EV and auto customers and demand surge for its battery energy storage systems (BESS) solutions.
Genetec declined 14% over the past week to close at RM2.01 on Jan 19 as investors became jittery over news indicating softening EV demand globally since the fourth quarter of 2023 (4Q23), including the scaling back of new EV model launches by brands and EV price cuts.
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