Stocks in Focus on October 20, 2021: BCH and SPA

Kaohoon Online has selected stocks with a high-growth potential for investors to consider on October 20, 2021.

 

Asia Wealth Securities (AWS) has given a “BUY” recommendation on Bangkok Chain Hospital Public Company Limited (BCH) with a target price at ฿29.00/share.

AWS expected BCH’s 3Q21 net profit outlook to hit a new high record again amid continually growing revenues. This was driven mainly by revenues related to COVID-19, also expected 3Q21 profit margin to rise YoY and QoQ. While overall 4Q21 was weak QoQ, there are still alternative vaccines to support. There are still 4 supporting factors to increase investment attractiveness: (1) re-entering the service of normal patients (2) income from 3 new hospitals (3) re-entering the service of non-resident patients and (4) the number of insured persons which is expected to increase.

 

Maybank Kim Eng Securities (Thailand) (MBKET) has given a “BUY” recommendation on Siam Wellness Group Public Company Limited (SPA) with a target price at ฿8.90/share.

MBKET upgraded recommendation from HOLD to TRADING BUY with a 2021 target price (DCF) at THB8.90/share (WACC 10.0%, g 5.0%) with 9% upside. Although MBKET expected another heavy loss in 3Q21, the store reopening increased significantly from 15% in 3Q21 to 77% since October, along with the courage to open two new stores this year, reflecting the company’s confidence that it is coming back to a tangible recovery path.