Thai Stock Market Roundup August 2, 2019

A short summary to inform investors of what had happened in the Thai stock market on August 2, 2019

2 ส.ค. 2562

– SET closed at 1,684.71 points, declined 15.04 points or 0.88% with a trading value of THB 82.04 billion. Today, the SET Index continued to close lower for the second day in the same direction of the regional market. A fall in both Asia and Europe markets might due to an announcement of the U.S. President Donald Trump to impose 10% tariff on $300 billion of Chinese imports, starting on 1 September 2019. Moreover, today, there are several reported explosions by planted bombs in the capital city of Thailand. The police still have no clue of the bomber’s identity and motive.

– Institutions, Proprietary Trading, and Foreign Investors continued to pour THB 5,781.54 million net sells, plunging the SET Index to close lower by 15.04 points.

– Stocks in Focus on 2 August 2019: PSL and EA
– The analyst recommended “BUY” EA share with the target price of ฿57.00/share and expected a 2Q2019 to hit a new high. Moreover, the 2Q2019 is the first quarter of EA to recognize revenue from a full capacity of all the solar and wind power plant projects in a total of 664MW. Additionally, the biodiesel business’s profit has increased from an increase in the sales price and sales volume. Currently, the government supports the biodiesel business by supporting to use B10 instead of B7, resulting in a demand of B100 to increase higher. Therefore, EA Factory, which could produce 8K liters of B100 per day, will earn a higher profit than normal.

– The analyst stated that the 2Q2019 loss of PSL was lower than the market had expected. A net loss of PSL was THB 141 million which the market expected a net loss of THB 10-20 million. Moreover, the analyst expected a 2H2019 PSL’s profit to be better and believed PSL’s business to recover but PSL should be aware of a freight charge (BDI) that might slowdown after it has been increasing for an entire year, and the endless of the trade talks between the U.S. and China. Therefore, the analyst recommended “HOLD” PSL share with the target price of ฿9.00/share.

– WHAUP set a subsidiary in Singapore, ready to penetrate the international market.

– B approved to invest ฿160 million to acquire a 40% share in 58MW solar power plants in Vietnam.

– MCS signed the contract for 2 projects with a total of 16,000 tons.