WORK Reaches a New High at ฿27.25 in 6M, After “10 Fight 10” Hits All-Time High Rating

As of 14.51 local time in Thailand, the share price of Workpoint Entertainment Public Company Limited (WORK) was at THB27, increased THB1 or 3.85%. During the session, the highest of WORK’s share price was at THB27.25 and the lowest was at THB26 with a trading value of THB298,278 million. WORK has reached a new high in 6 months since the share price was at THB75.75 on 12 December 2018.

KTB Securities recommends “BUY” WORK’s share at the target price of THB27.00/share and remains as a top pick in the media sector. Moreover, KTB expects a turnaround in 2019 due to the recently launched a new program “10 Fight 10” hits all-time high rating in just four weeks, while the number of both sponsorships and advertising has increased from the first episode, which implies a higher advertising revenue in 2019E.
Therefore, KTB expects in 2H19E net profit to grow by a whopping +338% YoY, while new programs set to air in the near term should provide upside to 2019E forecast, which is expected to grow +27.4% to THB440 million. The stock remains attractive trading at an undemanding PER of 26.1x, which KTB believes have yet factored in its high rating programs and rising advertising revenue and is discount to its media peers, although it has gained 26% for a month.

Krungsri Securities stated that Workpoint Entertainment Public Company Limited (WORK) (Recommend “BUY” with the target price at THB35) is a turnaround and value stock. As a result of the turnover of WORK has been gradually recovering from the rescheduling of new TV programs which each program has a good response, especially 10 Fight 10.
Meanwhile, WORK has a positive cash flow due to WORK does not need to pay for the 5th and 6th installment of the license. WORK expects to pay a dividend by the cash flow of the company or repurchase the share or purchase other businesses to increase the profit for WORK in the future.