Stocks in Focus on March 20, 2020: OSP and RATCH

Stocks in Focus on March 20, 2020: OSP (Maybank Kim Eng TP at ฿50.00/share) and RATCH (Kasikorn Securities TP at ฿75.75/share)

Kaohoon Online has selected stocks with a potential of high growth for investors to consider on March 20, 2020.

 

Maybank Kim Eng has given a recommendation on Osotspa Public Company Limited (OSP) with a target price at ฿50.00/share.

Maybank states that OSP is a leader of the energy drink market with a 53.5% market share and a strong financial position with net cash. The 2020 core profit is expected to grow by 12% from the expansion of production capacity by 10-15% for the beverage segment. Energy beverage factories in Myanmar started production in 1Q20. Fit Fast Firm project is expected to continue to reduce costs by more than THB500-800m.

 

Kasikorn Securities has given a recommendation on Ratch Group Public Company Limited (RATCH) with a target price at ฿75.75/share.

KS states that RATCH’s management is aiming to raise capacity by 780 MW this year to replace retiring capacity. The additional capacity will enhance earnings growth in the long run, while the recent decline in gas cost will offset a lower tariff in the short run. The stock also offers an attractive dividend yield at 5%.