KUALA LUMPUR: Shares of Inari Amertron Bhd surged to their highest level in nearly three months in early trading on Tuesday, buoyed by optimism surrounding a continued global semiconductor recovery and the potential easing of US export controls on advanced chips — developments expected to benefit Malaysia’s tech sector.
By 9:30am, the counter had soared 33 sen or 17% to RM2.27, lifting the group’s market capitalisation to approximately RM8.6 billion. Trading volume exceeded 22.2 million shares, more than double its average daily volume, making it the most actively traded stock on Bursa Malaysia in the morning session.
Investor sentiment was supported by recent data from the Semiconductor Industry Association, which reported that global semiconductor sales reached US$55.9 billion (RM242.4 billion) in March 2025 — representing an 18.8% year-on-year increase and a 1.8% rise month-on-month. This marks the 17th consecutive month of annual growth for the sector.
Additionally, industry body SEMI noted that global semiconductor materials revenue rose 3.8% year-on-year to US$67.5 billion in 2024, fuelled by strong demand for advanced materials driven by high-performance computing and AI-related applications.
TA Securities reiterated its ‘overweight’ stance on the semiconductor sector in a research note issued Tuesday, citing positive tailwinds from both macroeconomic factors and policy developments. However, it cautioned that risks remain, particularly with regard to potential geopolitical and regulatory uncertainties stemming from US policy shifts.
The research house views favourably reports that the Trump administration is considering revisions to the Biden-era restrictions on the export of advanced artificial intelligence (AI) chips.
“Overall, we view this development positively, as it could provide Malaysia with greater access to advanced technologies, particularly in strategic industries such as data centres,” the note stated. “The potential relaxation of export controls may also stimulate foreign direct investment and collaborative opportunities, further enhancing Malaysia’s position in the global semiconductor supply chain.”
TA Securities also welcomed the recent announcement by the Malaysian government outlining the eligibility criteria for local companies to participate in the advanced chip design initiative, in collaboration with UK-based Arm Holdings plc.
“This development marks an important step forward in enabling Malaysian firms to move up the value chain within the global semiconductor ecosystem,” it added.
Inari Amertron remains among TA Securities’ top picks in the sector, with a target price of RM3.10. Other ‘buy’ calls include Unisem (M) Bhd (TP: RM2.35), Malaysian Pacific Industries Bhd (TP: RM29.30), and Elsoft Research Bhd (TP: 52 sen).
-The Edge Malaysia
