Kaohoon’s Top News on September 16, 2021

– PTT Exploration and Production (PTTEP) is likely to report positive results in the third quarter of this year, as crude oil prices reached US$70 per barrel and sales volume increased. The output this year is anticipated to achieve a target of 412,000 barrels per day, while in 2022, PTTEP will begin recognizing income from three new projects. Three analysts have given a “BUY” recommendation on PTTEP with a target price of 145-157 baht. 3Q21 earnings are projected to climb on the back of an 18% gain in sales and a 10% rise in selling prices.   

– TQM Corporation (TQM) is preparing to spin-off a new business following an approval by the Bank of Thailand of a licence. Recently, its subsidiary Easy Lending launched a new personal lending service for TQM’s consumers, offering the first personal loans for insurance worth 300 million baht in 4Q21. TQM anticipates to gain revenue from a loan of 1.5 billion baht in 2022. Analysts maintain a “BUY” rating on TQM with a target price of 168 baht.

– Today (September 16), Bluebik Group (BBIK) will begin trading on mai. The share price is likely to exceed the 18 baht IPO price, owing to the company’s outstanding net profit margin of more than 23%. Mr. Pochara Arayakarnkul, Chief Executive Officer of BBIK, stated that the company has received positive feedback for the IPO as a result of investor confidence in BBIK’s core business, expertise in digital technology and digital transformation consulting services. Additionally, the company expects to book revenue from a joint venture with OR this year.

– With an investment budget of more than 60 billion baht, PTT partnered with Foxconn to establish the joint venture company to operate the electric vehicle manufacturing business in Thailand. Analysts are bullish about this investment, noting that it will considerably boost PTT’s growth. As a result, they rate PTT as a “BUY” with a target price of 46 baht.

– The Thai Stock Exchange (SET) will alter its market surveillance criteria for the SET50 and SET100 indexes. Stocks that are in Cash Balance or have been in Cash Balance for a long period may be removed from SET50 and SET100. Asia Plus Securities stated that as a result of the new SET50 and SET100 calculation criteria, stocks with a low free float and a Cash Balance status, such as DELTA, NRF, PSL, and KCE, are now highly volatile.

– Halcyon Technology (HTECH) raised its sales growth forecast for this year to at least 10% from 7%, as demand for hard disk drives surged and automotive components rebounded. Analysts forecast 3Q21 earnings of 33 million baht, up 31%, and propose a “BUY” rating with an 8.70 baht target price.