Stocks in Focus on May 27, 2021: PTT and TOA

Kaohoon Online has selected stocks with a high-growth potential for investors to consider on May 27, 2021.

 

Maybank Kim Eng has given a “BUY” recommendation on PTT Public Company Limited (PTT) with a target price at ฿53.00/share.

Maybank stated that the BUY recommendation and a raise in target price to THB53 (SOTP) to reflect the higher target price of its subsidiaries. PTT remains a laggard within the sector due to uncertainty around gas liberalisation. The government is expected to finalize the format (LNG imports for the rest of players) by 2Q21, so this could remain an overhang till then. Nevertheless, at current prices, valuation is compelling, and Maybank’s target price represents 37% upside.

 

Capital Nomura Securities (CNS) has given a “BUY” recommendation on TOA Paint (Thailand) Public Company Limited (TOA) with a target price at ฿41.00/share.

CNS stated that even after the high season in 1Q21, the overall momentum in 2Q21 is considerably good, especially for the domestic business that should be in line with the uptrend of construction material sectors.

The domestic selling price is expected to increase by 5-8%, starting July with 80% of TOA’s main products, resulting in a positive factor on 2H21 and 2022. The short-term sentiment could be from the listing in MSCI Small Cap at the closing of today’s session.