Stocks in Focus on March 23, 2021: BDMS and OR

Stocks in Focus on March 23, 2021: BDMS (KGI Securities TP at ฿26.50/share) and OR (Trinity Securities TP at ฿40.00/share).

Kaohoon Online has selected stocks with a potentially high growth for investors to consider on March 23, 2021.

 

KGI Securities has given an “Outperform” rating on Bangkok Dusit Medical Services Public Company Limited (BDMS) with a target price of ฿26.50/share.

KGI maintained its view on BDMSs earnings improving with the continued recovery in domestic and expat patients in mid-1Q21 after the second round of COVID-19 outbreak in Thailand. Further, full reopening is expected to begin in 3Q21 and 4Q21.

This would be in line with KGI’s expectation to see a strong recovery in fly-in patients in 4Q21. Also, the security company raised its 2022 earnings projection 5.4% to a normalized profit of Bt8.83bn (+24.7% YoY).

 

Trinity Securities has given a “BUY” recommendation on PTT Oil and Retail Business Public Company Limited (OR) with a target price at ฿40.00/share.

The security company stated that the current share price has not reflected the investment valuation of OR from the IPO, while having a business value equivalent to Bt26.00 and the future investment from its IPO would be Bt14.00, based on discount rate.

More importantly, the Community Mobility Reports from Google indicated that the traffic has returned to pre-Covid level, which would benefit gas consumption.

Trinity Securities estimated OR’s earnings in 2021 at 12 billion baht, increased 42% from the recovery of oil business. Sales volume was expected to increase 20% YoY.