Stocks in Focus on February 1, 2021: AP and SPALI

Stocks in Focus on February 1, 2021: AP (Maybank Kim Eng TP at ฿8.26/share) and SPALI (KGI Securities TP at ฿24.50/share).

Kaohoon Online has selected stocks with a potentially high growth for investors to consider on February 1, 2021.

 

Maybank Kim Eng has given a “BUY” recommendation on AP (Thailand) Public Company Limited (AP) with a target price at ฿8.26/share.

Maybank expected AP’s 2021 earnings should remain high, giving a “BUY” rating with a target piece of THB8.26, on 6x PE, 0.8x PB, which is lower than the industry. Even though AP is the property market leader, it pays a dividend once a year. For the year 2020 and 2021, Maybank expected a steady dividend of THB0.41 per year, representing a yield of 5.7%.

 

KGI Securities has given an “Outperform” rating on Supalai Public Company Limited (SPALI) with a target price at ฿24.50/share.

KGI expected SPALI to report a 4Q20F net profit of Bt1.7bn (-6% YoY, +42% QoQ). The jump QoQ should be driven by a surge in residential transfers and an improving gross margin as new projects have yielded relatively higher profitability. Looking forward, earnings momentum in 2021F is expected to be promising driven by a solid backlog, improving gross margin, and an attempt to focus on the low-rise segment.