Stocks in Focus on June 30, 2020: OSP and TASCO

Stocks in Focus on June 30, 2020: OSP (KGI Securities TP at ฿45.50/share) and TASCO (Maybank Kim Eng TP at ฿28.00/share).

Kaohoon Online has selected stocks with a potential of high growth for investors to consider on June 30, 2020.

 

KGI Securities has given an “Outperform” rating on Osotspa Public Company Limited (OSP) with a target price at ฿45.50/share.

KGI stated that it estimated OSP to report a 2Q20 net profit of Bt863mn (+21.5% YoY, -6.8% QoQ). Growth YoY would be due to an absence of extra employee benefits provision, while the fall QoQ would be from lack of gain on the business acquisition. In 2H20, KGI expected OSP to benefit not only from new production capacity but also improved domestic consumption after lockdown measures are eased.

 

Maybank Kim Eng has given a “BUY” recommendation on Tipco Asphalt Public Company Limited (TASCO) with a target price at ฿28.00/share.

Maybank expected a 2Q20 recovery in earnings to THB1.35b (+28% YoY) due to rising asphalt prices vs a loss of THB784m in 1Q20. The 2H20 outlook should also be strong as asphalt prices are expected to continue rising on tight supply. Demand from key markets, China and Thailand, is recovering well. In a medium-term, TASCO will benefit from low crude oil costs.