DBS Vickers Expects TU to Remain Strong in 2Q, Recomm. “BUY” with New TP of ฿20
DBSVS reiterated its "BUY" rating on TU and raised the target price to ฿20.00/share.
Following a reasonable net profit of Thai Union Group Public Company Limited (TU) of 1.8 billion baht in 1Q21, a 77.4% year-on-year growth, due to the strengthening of frozen and chilled seafood, growing demand in the PetCare and value-added businesses, as well as an improvement in Red Lobster operations. DBS Vickers Securities (DBSVS) anticipated that TU will maintain its strong performance in 2Q21.
Throughout 2025, TU’s long-term strategy is to achieve sustainable earnings growth.
DBSVS reiterated its “BUY” rating on TU and raised the target price to ฿20.00/share, which is pegged to a 2021E P/E of 13.7x (a five-year average level) following a +9% and 10% forecast revision for 2021-2022, respectively.
