SINGER Jumps 2%, Analysts Predict All-Time High Earnings in 1Q, Upgrading TP to ฿50

The share price of Singer Thailand Public Company Limited (SINGER) rose ฿1.00/share or 2.48% to ฿41.25/share in the morning session on Wednesday, May 12, with a trading value of 101 million baht. 

 

Maybank Kim Eng (Maybank) expected SINGER to report a 1Q21 profit of 140 million baht (+13% QoQ, +62% YoY). Sales grew steadily, coupled with interest income increasing +12% QoQ, +50% YoY based on C4C portfolio, (+18% QoQ), good asset quality. It is also enlisted in the MSCI Global Small Cap in this round with the opportunity to be included in the SET100 index as well. Therefore, recommending a strategic target price of 50 baht.

Maybank also predicted that SINGER would maintain its all-time high for the next two years, owing to the hire-purchase and cash-for-car businesses. Despite the third wave of Covid-19, SINGER will gain momentum in the near term thanks to solid 1Q21 earnings.

 

Meanwhile, SINGER’s net profit is expected to increase by 55% to 135 million baht in 1Q21, according to Capital Nomura Securities (CNS), owing to substantial growth in the hire-purchase and auto title loan businesses. SINGER’s growth will continue through 2022, due to its high potential for improvement.