Kaohoon’s Top News on May 10, 2021

Krung Thai Bank (KTB) is set to jointly provide a 25 billion baht loan to Thai Airways (THAI) on condition that the Ministry of Finance must be a guarantor. The Finance Ministry, meanwhile, is looking to propose the cabinet meeting on May 11 to decide whether to return the state enterprise status to THAI. 

 

Ngern Tid Lor (TIDLOR) to begin trading today (May 10). The company expected a 15-20% CAGR as TIDLOR will aggressively penetrate the car title loans market. Also, TIDLOR is convinced that the company has set aside sufficient provision from NPL Coverage as high as 325.1% and NPL is only 1.7%. Analysts targeted 26% profit growth this year, giving a target price at ฿49.40/share.

 

Global Power Synergy (GPSC) reported a healthy result as earnings in 1Q21 grew 25% to nearly 2 billion baht due to an increased in shares of profit from Xayaburi hydropower plant and gain on sale of 50% shares of Global Renewable Power Co., Ltd. to PTT Global Management (PTTGM).  Additionally, there was higher margin from SPP on lower natural gas and coal price together with higher steam demands from industrial customers.

 

Ratch Group (RATCH) aimed to advance in overseas wind farm investment with a plan for capacity expansion to 2,500MW by 2025. Most recently, RATCH has invested in a near-shore wind power plant with the capacity of 80MW in Vietnam. 

 

Don Muang Tollway (DMT) to hand out an interim dividend for the 3rd quarter performance of not less than 90% of net profit. In 1Q21, DMT recorded a net profit of 143 million baht, hence, expressing confidence that the full-year earnings will resemble last year’s earnings of 791 million ahead of a positive sentiment from government’s speed up vaccine rollout.  

 

Prayut ordered more vaccine procurement, aiming to secure additional 150 million doses. Meanwhile, Astrazeneca (Thailand) revealed that the samples from test batches of the Covid-19 vaccine made by Siam Bioscience had passed quality testing at both laboratories in Europe and in the U.S. The first batch of the vaccine is getting closer to deliver. 

Following the issue, analysts expected the SET Index this week to move in the range of 1,550-1,620, recommending buy SCGP, IRPC, TVO and CPF, and suggesting avoiding Domestic Play, in particular the tourism sector.