The equities research conducted by Finansia Syrus Securities (FSS) said that the SET seems more relaxed and likely to move within the range of 1,560-1,580 points following a better-than-expected rebound yesterday (May 6) as foreign investors returned to Long Index Futures. However, the upside will be limited.
Big events to monitor is the U.S. nonfarm unemployment rate in April. If it continues to be strong, it may raise concerns about further cuts in QE, which will encourage Flow to flow out of emerging markets.
Assessing that Global Play will remain outperform the market. Hence, FSS recommended “Speculative-Buy” as well as the stocks with an impressive 1Q21 earnings forecast. The analyst also recommended accumulation during market correction as Thai economy is likely to bounce back in the second half of this year.
For investment strategy : 1) stocks with positive result projection in 1Q21, 2) Global Play, 3) accumulating stocks when the SET drops to 1,555+- and 1,530+-. Top picks for May are BCH, CPALL, ITEL, STEC and TU.
IVL is top pick for the petrochem sector, giving “BUY” rating with a target price of ฿57.00/share. IVL’s net profit in 1Q21 surged 359% QoQ and 953% YoY. While 2Q21 outlook is expected to continue its momentum.