Stocks in Focus on September 11, 2019: STEC and TACC

Stocks in Focus on September 11, 2019: STEC (KTB Securities TP ฿20.00/share) and TAC (Finansia Syrus TP ฿6.00/share).

Kaohoon Online has selected two stocks with a potential of high growth for investors to consider on September 11, 2019.

 

KTB Securities – STEC

KTB Securities has given a “BUY” recommendation on Sino-Thai Engineering and Construction Public Company Limited (STEC) with a target price of ฿20.00/share, saying that the share price has slumped 27% in the past month which was a reflection of the estimation of analysts on the 5-6% gross margin on a total of 90 billion worth of backlog.

Currently. STEC is being traded lower than its P/E while expecting to have an upside if STEC wins the bidding for U-Tapao Rayong Pattaya International Airport worth 260 billion baht. Moreover, there is also the construction of the rapid transit next year for purple line, red line and orange line. The share price is not expensive and the P/E of 2020 would be 20x and PBV at -1SD.

 

Finansia Syrus – TACC

Finansia Syrus states in the analysis, recommending “BUY” on T.A.C. Consumer Public Company Limited (TACC) with a target price of ฿6.00/share. Finansia said that the company would not receive the impact from the sugar-sweetened beverage tax as the company has already made some changes in the ingredients.

Even though the third quarter in 2019 is a low season, the new beverages, stamp promotions, Hershey’s dispenser and income from character business would help buoying the revenue in the quarter.The fourth quarter would be TACC’s high season and Finansia estimates that the profit in 2019 would increase by 109%.