Stocks in Focus on December 2, 2019: CBG and BGC
Stocks in Focus on December 2, 2019: CBG (KGI Securities TP at ฿98.00/share) and BGC (Krungsri Securities TP at ฿15.00/share).
Kaohoon Online has selected stocks with a potential of high growth for investors to consider on December 2, 2019.
KGI Securities (KGI) has given an “Outperform” rating on Carabao Group Public Company Limited (CBG) with a target price at ฿98.00/share.
KGI has made an analysis after CBG’s CEO shared that the company’s growth targets will be aggressive in 2020 at export growth of more than 20%, from growing in Myanmar and Vietnam, and domestic growth more than 15% from gaining market share. Margin improvement will enable the company to increase its marketing budget to gain market share. CBG’s targets are more bullish than our assumptions in 2020, but KGI is maintaining its earnings forecasts and target price due to concern about the marketing budget.
Krungsri Securities (KSS) has given a “Trading” recommendation on BG Container Glass Public Company Limited (BGC) with a target price at ฿15.00/share.
KSS states that the recent share price weakness suggests the weak 3Q19 results have been priced-in. 4Q19-2020 earnings will be driven by lower gas prices along with falling HSFO prices, as shipping operators would be required to use LSFO under the IMO2020 which will take effect early 2020.