KL Kepong stock slips as analyst keeps Neutral view
Published on 09/02/2026 at 11:58 | Editorial responsibility: Rafael Müller, Editor-in-Chief AD HOC NEWS
KL Kepong Bhd (ISIN MYL2445OO004) stock eased as the latest note kept a Neutral stance and pointed to RM23.86 as the target price. On September 2, 2026, the share was quoted at RM21.64 and later at RM22.20 on Bursa Malaysia coverage.
Target stays unchanged
According to a KLSE Screener report on the KLK note, Public Investment Bank kept a Neutral call and an unchanged target price of RM23.86. The same note said KLK's third-quarter FY26 results were distorted by a RM1.6 billion non-cash impairment on Synthomer plc.
That makes the balance sheet the key investor variable. The note also put KLK's reported net gearing at 71 percent in third quarter FY26 and gross gearing at 90 percent, while management targets gross gearing of 50 percent.
Oil palm yield pressure
The report said about 20 percent of KLK's planted area in Indonesia is exposed to weather risk, with FY27 described as a transition year. It also said FY26 capital expenditure is expected at RM800 million to RM1 billion, mainly for replanting.
On the market side, The Star market report showed KL Kepong at RM21.64 in early trade on September 2, 2026, while another same-day market update later showed RM22.20. The gap to the RM23.86 target leaves the stock below that level, even after the intraday recovery.
KL Kepong debt and yield data
KLK's latest note ties the stock to gearing, capex and plantation yield risk, not just to the share price.
Plantation and manufacturing
KLK's plantation business remains the core earnings engine, while the note said its manufacturing division returned to profitability. The same update described plantation earnings as broadly stable despite lower crude palm oil prices.
Stock and market context
KL Kepong stock traded on Bursa Malaysia in Malaysian ringgit on September 2, 2026. The share moved between RM21.64 and RM22.20 in the same day, while the research note anchored the discussion with RM23.86 and FY26 gearing at 71 percent.
KL Kepong at a glance
- Company: Kuala Lumpur Kepong Bhd
- ISIN: MYL2445OO004
- Ticker: KLK
- Trading venue: Bursa Malaysia
- Price (as of September 2, 2026): RM22.20
- Market capitalization: RM24.0 billion
- Sector / Industry: Consumer Staples / Agricultural Products
- Index membership: FTSE Bursa Malaysia KLCI
