MTC Signals for Robust 2020 Earnings of ฿1.34Bn, Analyst Recomm. “BUY” at ฿73

Muangthai Capital (MTC) expected the full-year net profit of  5.2 billion baht in 2020, increased 22% YoY, while targeting the earnings in 4Q20 of 1.34 billion baht, up 18.5% YoY, as loans continued to grow and provisions decreased. The analyst recommended “BUY” at a target price of ฿73.00/share. MTC’s CEO further affirmed an outstanding performance of the Company in 4Q20, estimating growth to accelerate 20-25%.  

 

DBS Vickers Securities (Thailand) (DBSV) has given a “BUY” recommendation on Muangthai Capital Public Company Limited (MTC) at a target price of ฿73.00/share (based on 2021 P/BV at 6.0x), expecting a robust earnings in 4Q20 to possibly make a new high. The forecast new profit is 1.34 billion baht, an increase of 18.5% YoY and 0.1% QoQ. 

 

For the year 2020, DBSV projected the earning to grow by 22% to 5.2 billion baht, mainly driven by loans growth expanded 19% and provisions has dropped by 67% YoY to 139 million baht due to a remaining high demand in mortgage despite economic slowdown. In addition, MTC targeted loans to expand by 20-25% in 2020-2024.