Stocks in Focus on August 20, 2020: DCC and CPN

Stocks in Focus on August 20, 2020: DCC (Maybank Kim Eng TP at ฿3.00/share) and CPN (KGI Securities TP at ฿58.50/share).

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

 

Maybank Kim Eng has given a “BUY” recommendation on Dynasty Ceramic Public Company Limited (DCC) with a target price at ฿3.00/share.

Maybank  stated that DCC is a good dividend stock with a strong earnings outlook. Its 3Q20 outlook will continue growing strong from 2Q20 thanks to higher utilization of 75% while gas costs remain low. Gross margin increased to 42.5% in July. Maybank estimated a 2H20 dividend of 83% of profit, implying a yield of 6% pa.

 

KGI Securities has given an “Outperform” rating on Central Pattana Public Company Limited (CPN) with a target price at ฿58.50/share.

KGI revised up its earnings estimates for CPN during 2021-2022 by 2.6%/1.9%, mainly to take into account the impact from TFRS16. In 2H20, KGI expected earnings to improve, on the back of higher mall traffic and lower rent discounts. Based on the new forecast and rolling over the base year to end of 2021, KGI derived a new DCF-based target price of Bt58.50, up from Bt55.50.