Kaohoon’s Top News on September 14, 2020

– TMB stated that 90% of its car-loans debtors, requested for a temporary suspension of principal and interest payments under BOT’s measure, have been repaying their debts as normal. The car loans contributed 30% to TMB’s loan business.

TMB expected the 2H20 performance to be better than the first half of the year due to lower provision, a drop in NPL to 2.4%, and lower costs, while an average yield from credit loan and the revenue from cross-selling would spike. DBS Vickers Securities stated that the current P/BV of TMB is 0.44x, while giving a dividend yield of 4%, thus, recommended “BUY” at a target price at ฿1.30/share.

– TASCO could see a drop in revenue by 50% after the U.S ordered the company to wind down its crude oil procurement from Venezuela by the end of November 2020 and warned that it could face a sanction if not compromised. The analyst expected an impact to TASCO’s share price as TASCO would lose around 50% of its revenue.

– JMART asserted that the capital increase was to settle the M&A deal in the future after announcing a capital increase by issuing new ordinary shares of 362 million shares, offered through RO and PP. Meanwhile, JMT would also initiate a capital increase along with offering 100 million units of warrant.

– GULF to start its subscription period for its 1,066,650,000 shares of a capital increase through RO at a ratio of 10 shares to 1 new ordinary share at the price of ฿30.00/share. Moreover, GULF and RATCH are expecting EPPO to announce a new plan to procure 1.4mm/tonnes per annum of LNG to feed to Hin Kong Power Plant.

– The analyst expected a better 3Q20 earnings for CPF over the higher price of swine price in Thai and Vietnam, estimating its sales revenue to reach 565 billion baht and a net profit of 21.5 billion baht this year. The company stated that the deal in Tesco would not require a capital increase as the company has 90 billion baht of cash on hands and an ability to request for more loans. The analyst recommended “BUY” with a target price at ฿36.00/share.