Thai Equity - Bottom-up - Equities, Pi Securities PCL, Thailand

Pi Research

Thai Equity - Bottom-up - Equities

Leading, full-service investment firm in Thailand

Pi Securities PCL, Thailand

Pi Securities is a well known securities company with 40 years experience in the industry, serving more than 60,000 clients. We offer one - stop service providing full range of financial products and services including extensive Brokerage, Proprietary Trading (Equities and Bonds), Advisory Services, Structured Products.

Moreover, our new research team tailored for institutional clients to focus on mid to small cap of Thai equities and trading strategies. Our services offered to our premium clients also include arrangement of company or site visits to with the managements of Thai listed companies.

Note: Effective on 1 March 2022, Country Group Securities PCL changed its name to Pi Securities

Equity Bottom-Up

Bangkok Aviation Fuel Services / Equity Bottom-Up

<ul>
<li>Maintain BUY recommendation for BAFS with a target price of Bt34.0. Business performance are expected to turn profit by 3Q22, driven by recovery in aviation fuel services volume along</li>
<li>BAFS report 1Q22 net loss at Bt77m, the smallest loss in the past eight quarters. The result came out slightly above our expectation.</li>
<li>The least loss in the past eight quarters supported by dividend income recognition worth Bt50m from power plant business in Japan (acquired in 4Q21)and an increase in aviation fuel volume</li>
</ul>


Maintain BUY recommendation for BAFS with a target price of Bt34.0. Business performance are expected to turn profit by 3Q22, driven by recovery in aviation fuel services volume along
BAFS report 1Q22 net loss at Bt77m, the smallest loss in the past eight quarters. The result came out slightly above our expectation.
The least loss in the past eight quarters supported by dividend income recognition worth Bt50m from power plant business in Japan (acquired in 4Q21)and an increase in aviation fuel volume


We initiate coverage of BAFS with a BUY rating, based on a target price of Bt40.0, which is derived from a DCF methodology (WACC 8.3%, terminal growth 1%) and implies 29.0xPE’19E.
The story:
<ul>
<li>Integrated fuel transportation business in a single entity</li>
<li>
Pipeline business will be a long-term cash engine
</li>
<li>
Seizing new opportunities from upcoming airport expansion phases
</li>
</ul>
Risks:  Lower-than-expected tourist traffic at major airports and domestic oil consumption, high reliance on a very small number of customers.

We initiate coverage of BAFS with a BUY rating, based on a target price of Bt40.0, which is derived from a DCF methodology (WACC 8.3%, terminal growth 1%) and implies 29.0xPE’19E.
The story:

Integrated fuel transportation business in a single entity

Pipeline business will be a long-term cash engine


Seizing new opportunities from upcoming airport expansion phases


Risks:  Lower-than-expected tourist traffic at major airports and domestic oil consumption, high reliance on a very small number of customers.

BAFS: Thai Aviation Oil Fuel Operator Aims for Sustainable Growth Path

Thailand

Bangkok Aviation Fuel Services Public Company Limited is provider of aviation fuel services including aviation depot and aircraft refueling services at the Bangkok International Airport (Donmuang) and the New Bangkok International Airport at Suvarnabhumi.

Price Gauge
52-week Range	0.00 - 0.00
Market Cap (USDm)	0.00
P/E	0.00
Dividend (Yield)	0.00

Bangkok Aviation Fuel Services (BAFS TB)

BAFS : Recovery Phase Has Kicked Off

Maintain BUY recommendation for BAFS with a target price of Bt34.0. Business performance are expected to turn profit by 3Q22, driven by recovery in...

Pi Securities PCL, Thailand

BAFS: Thai Aviation Oil Fuel Operator Aims for Sustainable Growth Path

We initiate coverage of BAFS with a BUY rating, based on a target price of Bt40.0, which is derived from a DCF methodology (WACC 8.3%, terminal...

Pi Securities PCL, Thailand

Price Gauge

52-week Range

Market Cap (USDm)

P/E

Dividend (Yield)