TOP Jumps 5%, Analyst Recomm. “BUY” in Favor of an Investment in Indonesian Chandra Asri
AWS views TOP's long-term investment strategy favorably, particularly an investment in the Olefins business namely Chandra Asri, since it would expand TOP's investment potential in Indonesia
The share price of Thai Oil Public Company Limited (TOP) rose ฿2.25/share or 4.92% to ฿48.00/share as of 11:23 local time in Thailand, with a trading value of 688 million baht.
Asia Wealth Securities (AWS) observed that TOP’s share price has fallen more than 23% in three months and lagged its peers, reflecting concerns about the company’s overwhelming capital raising, as well as a continued higher demand for petrochemical products that is significantly weighing on its 2H21 performance.
Overall, AWS views TOP’s long-term investment strategy favorably, particularly an investment in the Olefins business of Indonesia-based Chandra Asri (of which TOP owns 15%), since it would expand TOP’s investment potential in Indonesia. Thus, AWS has given a “BUY” rating on TOP with a target price of 58 baht.