Kaohoon’s Top News on May 31, 2021

Covid’s alternative vaccine is anticipated to boost the Thai market. Analysts see funds returning to invest in the SET50 Index following massive selling of over 364 billion baht since the beginning of the year, favoring oil and petrochemical stocks over the bright 2021 earnings prediction.

Dr. Chalerm, chairman of Bangkok Chain Hospital (BCH), expressed interest in the Sinopharm vaccine that Chulabhorn Royal Academy imported. He also revealed that over one million people have already placed an order for the Moderna Covid vaccine. 

Meanwhile, Russia’s Sputnik V is expected to be approved by Thailand’s Food and Drug Administration within the next 1-2 weeks.

 

Analyst forecasts indicate that LOXLEY will earn an extra 3 billion baht in 3Q21 from compensation for Lottery-Games System services, and the earnings outlook is expected to continue growing from Q1. At the same time, TRIS Rating affirmed the company rating on LOXLEY at BBB. The rating outlook remains stable. LOXLEY’s revenues are expected to be in the range of 13-14 billion baht between 2021 and 2023. Going forward, LOXLEY has a great chance of winning further high-margin government and business projects.

 

Bangkok Airways (BA) offers the termination of the Long Term Lease Agreement of Samui Airport to Samui Airport Property Fund (Leasehold) (SPF). Also, BA plans to make a tender offer for SPF at 19.00 baht per share. In this regard, BA has determined the compensation for termination of the aforesaid agreement to the property fund in the amount of 18,050 million baht or equivalent to 18.90 baht per share, which is close to the tender offer price. Analysts recommend Speculative-Buy on SPF, while giving HOLD rating on BA. 

 

Halcyon Technology (HTECH) estimates a 7% revenue growth in 2021 as a result of increased demand for hard disk drives and electric vehicles (EV). Furthermore, the company aims to invest 100 million baht in new machines and expansion of its plant in the US.

 

Gulf Energy (GULF) approved the tender offer for all securities of ADVANC, together with INTUCH, and cut the tender offer price to 120.93 baht per share from 122.86 baht per share. This agenda will propose to the Extraordinary General Meeting of Shareholders on June 25, 2021. 

 

Mr. Thiraphong, President and CEO of Thai Union Group (TU), is confident that sales will keep expanding this year due to the constant success of three core businesses. The frozen seafood sales in the United States are expected to rebound. TU has set aside around 6-6.5 billion baht for investment in 2021 with the plan to expand in canned seafood and pet foods.