Thai Stock Market Roundup on October 26, 2020

A short summary to inform investors of what had happened in the Thai stock market on October 26, 2020.

SET Index closed at 1,207.97 points, decreased 5.64 points or 0.46% with a trading value of 41.5 billion baht. The analyst stated that the current global outlook did not support the Thai stock market as the Dow Jones Futures dropped more than 300 points ahead of its Monday session due to concerns of the delayed stimulus bills and the rising coronavirus infections in the U.S. and Europe.

The political unrest in Thailand played a big role as domestic factors and investors would have to keep a close eye on a possible escalation of the protest as well as the result of the special parliamentary session on October 26-27.

The analyst expected the volatility to continue with a support level at 1,200 points and a resistance level at 1,223 points.

– Local Institutions net sold 2.4 billion baht worth of Thai shares, dropping SET Index by 5.6 points.

– China will impose sanctions on U.S. entities participating in  U.S. arms sales to Taiwan, according to a foreign ministry spokesman Zhao Lijian. The country aimed to sanction Lockheed Martin, Boeing Defense and Raytheon.

– The prices of live pigs in China declined 5% in mid-October compared to the previous 10 days, data from the 10-day reading. The agriculture minister said price jumps are unlikely in the remainder of 2020.

Oil prices dropped more than 2.5% as the Covid-19 surge in U.S. weighed on oil demand.

IVL joined hands with “Toyobo” to operate the production of airbag yarns in Thailand.

TRUBB jumped 11% after the “cash balance” measure ended. Analysts warned of speculation on the stocks.

CHAYO issued a debenture worth 800 million baht with a 6% interest rate to high net worth investors and institutional investors.

NER issued a 2-year debenture worth 700 million baht with a 6.5% interest to high net worth investors and institutional investors.

SISB expected its 3Q20 revenue to recover and be better than the previous quarter. The earnings would be announced on November 13, 2020, while its 4Q20 revenue and profit would return to its normal level. Moreover, the company is expected to open a new campus soon. The analyst recommended “BUY” at a target price of ฿11.20/share.

– TRIS Rating upgraded STA to “A-” and revised rating outlook to “Stable”.

– KTBST’s recommendation and target price on KKP based on 2020E PBV of 0.9x, or -1.0 SD below its 10-yr average. At an analyst meeting held on October 22, KTBST was neutral toward the company’s guidance, which is in line with its forecast.

– Maybank Kim Eng has given a “BUY” recommendation on CK with a target price at ฿24.00/share, citing anticipation of a strong profit in 3Q20 at 600 million baht.

– Stocks in Focus on October 26, 2020: SAT (Kasikorn Securities TP at ฿16.00/share) and SPALI (Maybank Kim Eng TP at ฿19.18/share).

Top 10 Most Impact Shares on October 26, 2020