Head of Research, Krungthai XSpring

Waraporn Wiboonkanarak

Head of Research

A full service Thai brokerage

Krungthai XSpring

Krungthai XSpring is a full service broker. The company provides a wide range of investment services such as Securities Brokerage, Derivative Agent Business, Securities Borrowing and Lending, Securities Trading, Underwriting, Financial Advisory, Wealth Advisory, Private Fund Management and International Markets Securities Trading. 

In terms of credibility, Fitch Ratings has assigned Krunghtai XSpring a long-term rating of AA- and a national short-term rating of F1+ with stable outlook.

Equity Bottom-Up

Bangkok Expressway and Metro / Equity Bottom-Up

<ul><li>The appointment of the speaker of the House of Representatives on Tuesday, July 4, 2023, may create a positive surprise to the SET if the person is from the Pheu Thai Party.</li><li>Regarding the position of prime minister, if the leader of the Move Forward Party is not supported by the Senate (which is very likely), the position will go to a member of the Pheu Thai Party.</li><li>We estimate the SET Index at 1,589 points for 3Q23E in the base case, implying upside of around 6% from the closing level of 1,503.10 points on May 30, 2023.</li></ul>

The appointment of the speaker of the House of Representatives on Tuesday, July 4, 2023, may create a positive surprise to the SET if the person is from the Pheu Thai Party.Regarding the position of prime minister, if the leader of the Move Forward Party is not supported by the Senate (which is very likely), the position will go to a member of the Pheu Thai Party.We estimate the SET Index at 1,589 points for 3Q23E in the base case, implying upside of around 6% from the closing level of 1,503.10 points on May 30, 2023.

Political Clarity Driving the SET Rebound

<ul><li>Yesterday, our Big Cap portfolio generated a return of +0.09%, vs. the SET Index's return of -0.05%, thanks to buying in reopening plays (BEM and AWC).</li><li>This came on the back of potential upward revisions to the Thai 2023E GDP growth projection after the MPC expressed a positive view on the tourism sector, thanks especially to China's reopening.</li><li>KTX's BIG Cap Tactical Picks portfolio is constructed within SET100 Index constituents.</li></ul>

Yesterday, our Big Cap portfolio generated a return of +0.09%, vs. the SET Index's return of -0.05%, thanks to buying in reopening plays (BEM and AWC).This came on the back of potential upward revisions to the Thai 2023E GDP growth projection after the MPC expressed a positive view on the tourism sector, thanks especially to China's reopening.KTX's BIG Cap Tactical Picks portfolio is constructed within SET100 Index constituents.

<ul><li>The SET Index is expected to move sideways, with the resistance at 1,615/1,620 points and the support at 1,600/1,597 points.</li><li>Negative factors include the Thai trade balance in November, which is forecast to continue to mark a deficit, albeit to a lesser extent than in October.</li><li>We thus recommend holding cash or brief speculation.</li></ul>

The SET Index is expected to move sideways, with the resistance at 1,615/1,620 points and the support at 1,600/1,597 points.Negative factors include the Thai trade balance in November, which is forecast to continue to mark a deficit, albeit to a lesser extent than in October.We thus recommend holding cash or brief speculation.

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

<ul>
<li>BEM report 3Q22 net profit at Bt863m,the highest level in the past 12 quarter. The result came out above our and market estimates by 18% and 9% respectively. Impressive earnings</li>
<li>3Q22 earnings beat market and our estimates BEM’ revenue in 3Q22 touched ten-quarter high Bt3.7bn (+74%YoY +15%QoQ) supported by strong rebound in daily average MRT ridership to 313k trips(+292%YoY +36%QoQ)</li>
<li>Gross profit margin expanded to the highest level since 3Q16 to 44.0% thanks to benefit from high operating leverage for both rail and toll services,which help covering up the impact</li>
</ul>


BEM report 3Q22 net profit at Bt863m,the highest level in the past 12 quarter. The result came out above our and market estimates by 18% and 9% respectively. Impressive earnings
3Q22 earnings beat market and our estimates BEM’ revenue in 3Q22 touched ten-quarter high Bt3.7bn (+74%YoY +15%QoQ) supported by strong rebound in daily average MRT ridership to 313k trips(+292%YoY +36%QoQ)
Gross profit margin expanded to the highest level since 3Q16 to 44.0% thanks to benefit from high operating leverage for both rail and toll services,which help covering up the impact


BEM : 3Q22 Earnings Hit 12-Quarter High and Beat Estimates

<ul>
<li>Maintain BUY recommendation for BEM with a new target price of Bt11.40 (Previous TP: Bt9.90) after we incorporate value from orange line project into our valuation. We expect the company </li>
<li>Expect solid profit recovery in 3Q22 and onwards Expect BEM’ revenue in 3Q22 to touch Bt3.6bn (+69%YoY +12%QoQ) supported by solid rebound in daily average MRT ridership to 313k trips </li>
<li>Gross profit margin is assumed to expand to three-quarter high at 42% thanks to benefit from high operating leverage,which should help absorb the impact from an increase in MRT revenue </li>
</ul>


Maintain BUY recommendation for BEM with a new target price of Bt11.40 (Previous TP: Bt9.90) after we incorporate value from orange line project into our valuation. We expect the company 
Expect solid profit recovery in 3Q22 and onwards Expect BEM’ revenue in 3Q22 to touch Bt3.6bn (+69%YoY +12%QoQ) supported by solid rebound in daily average MRT ridership to 313k trips 
Gross profit margin is assumed to expand to three-quarter high at 42% thanks to benefit from high operating leverage,which should help absorb the impact from an increase in MRT revenue 


BEM : Expect 3Q22 Earnings to Hit 12 Quarter High

Thailand

Bangkok Expressway and Metro Public Company Limited (BEM) is a Thai public transportation company that constructs, operates, and manages expressways and rapid rail transit systems. It operates multiple metro lines and expressways in Bangkok, and also engages in commercial development activities such as retail space rental and advertising within its transportation networks. The company is headquartered in Bangkok, Thailand, and was founded in 1998, with the current entity formed by a merger in 2015.

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

Bangkok Expressway and Metro (BEM TB)

Political Clarity Driving the SET Rebound

The appointment of the speaker of the House of Representatives on Tuesday, July 4, 2023, may create a positive surprise to the SET if the person...

Krungthai XSpring

Big Cap Tactical Picks

Yesterday, our Big Cap portfolio generated a return of +0.09%, vs. the SET Index's return of -0.05%, thanks to buying in reopening plays (BEM and...

Krungthai XSpring

Market Outlook

The SET Index is expected to move sideways, with the resistance at 1,615/1,620 points and the support at 1,600/1,597 points. Negative factors...

Krungthai XSpring

BEM : 3Q22 Earnings Hit 12-Quarter High and Beat Estimates

BEM report 3Q22 net profit at Bt863m, the highest level in the past 12 quarter. The result came out above our and market estimates by 18% and 9%...

Pi Securities PCL, Thailand

BEM : Expect 3Q22 Earnings to Hit 12 Quarter High

Maintain BUY recommendation for BEM with a new target price of Bt11.40 (Previous TP: Bt9.90) after we incorporate value from orange line project...

Pi Securities PCL, Thailand

Price Gauge

52-week Range

Market Cap (USDm)

P/E

Dividend (Yield)