Stocks in Focus on January 25, 2021: ICHI and KKP

Stocks in Focus on January 25, 2021: ICHI (Krungsri Securities TP at ฿16.40/share) and KKP (KTB Securities TP at ฿65.00/share).

Kaohoon Online has selected stocks with a potentially high growth for investors to consider on January 25, 2021.

 

Krungsri Securities (KSS) has given a “BUY” recommendation on Ichitan Group Public Company Limited (ICHI) with a target price at ฿16.40/share.

KSS expected ICHI’s 4Q20 net profit to rise 36% yoy to Bt114m on full-quarter recognition of vitamin product sales. Earnings growth is projected at 23% CAGR over the next three years driven by higher utilization and penetration of the vitamin market.

 

KTB Securities (Thailand) (KTBST) has given a “BUY” recommendation on Kiatnakin Phatra Bank Public Company Limited (KKP) with a target price at ฿65.00/share.

KTBST stated that the loan-loss provision KKP set aside in 4Q20 should be more than enough to cover any NPLs due to a new round of the COVID-19 outbreak. The revenue from its mutual funds and securities brokerage business will likely remain a key earnings growth driver in 2021E. Meanwhile, the moratorium loans currently account for just 11% of its loan portfolio from 40% in 3Q20. Additionally, 75% of the then-moratorium loans have resumed their payment routines.

Thus, KTBST maintained 2021E net profit forecast at Bt6.2bn, which indicates a rise of +20%, as 1) NIM is expected to remain a high of 4.67% from 4.3%, 2) fee-based income would increase +6% in light of high trading volume in the stock market, and 3) loan-loss provision looks likely to decrease.