EA Jumps Nearly 20% to ฿64 in Anticipation of Better 4Q Earnings and Thriving EV Business

Yesterday, the share price of Energy Absolute Public Company Limited (EA) rose ฿10.50/share or 19.63% to close at ฿64.00/share with a trading value of 9,531 million baht. The highest price was ฿65.25/share and the lowest was ฿53.00/share.

 

LH Securities (LHS) has given a “Speculative-BUY” recommendation on EA with a target price at ฿71.00/share, estimating that the 4Q20 earnings would recover due to seasonal factors that provide more sunlight and wind, compared to 3Q20.

 

More importantly, the company has high potential to continue advancing in the electronic transportation business, such as an electronic vehicle, ferry and bus, through “EA Mobility Holding”. The factory for battery business is expected to complete this year, and would be the driver to EA’s profit in 2022.

 

Mr. Amorn Sapthaweekul, Director of EA, estimated a 20-30% growth in its 2021 revenue mainly from the EV business in which the business proportion for EV would increase to 20-30% to EA’s overall business.

 

Due to the pandemic that caused a plummet in tourist arrivals, the company switched its business plan to operate merchandise transportation, company bus and short-distance coach instead.