Stocks in Focus on October 25, 2019: MINT and BDMS

Kaohoon Online has selected two stocks with a potential of high growth for investors to consider on October 25, 2019.

 

KGI Securities (KGI) has given a “BUY” recommendation on Minor International Public Company Limited (MINT) with a target price at ฿49.00/share.

KGI expects MINT to report a 3Q19 net profit of Bt3.4bn (+235% YoY, +91% QoQ), mainly driven by one-off gain of Bt2.1bn. Excluding extraordinary items, normalized profit is expected to reach Bt1.36bn (+33% YoY, -35% QoQ) due to the consolidation of NH Hotel Group (NHH), and continued RevPar growth for its overseas hotels. With an undemanding valuation, KGI maintains the Outperform rating with a target price of Bt49.00, based on 16.3x 2020F EV/EBITDA or -0.5SD to its 5-year mean.

 

Kasikorn Securities (KS) has given a “BUY” recommendation on Bangkok Dusit Medical Services Public Company Limited (BDMS) with a target price at ฿26.00/share.

KS expects an inflow to return to hospital sector that laggards the market by 11% YTD, seeing that the sector has a potential for long-term growth. In the sector, KS sees BDMS as the leader to post a growth of 13% in normalized profit in 2020 and 11% in 2021 from higher revenue and profit margin. More importantly, BDMS’ capex is almost at its ends, which would heighten BDMS performance as well as profit.