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.

Thematic (Sector/Industry)

<ul><li>Technically, the SET Index is expected to test the resistance at 1,366/1,374 points (10-day EMA/25-day EMA), with the support at 1,350/1,340 points.</li><li>Overall, the index has been moving in the downchannel range of 1,320-1,410 points. In the short term, the index is rebounding after a sharp four-day decline of over 80 points last week.</li><li>A sell signal could emerge if the index fails to break through the resistance at 1,366/1,374 points. </li></ul>

Technically, the SET Index is expected to test the resistance at 1,366/1,374 points (10-day EMA/25-day EMA), with the support at 1,350/1,340 points.Overall, the index has been moving in the downchannel range of 1,320-1,410 points. In the short term, the index is rebounding after a sharp four-day decline of over 80 points last week.A sell signal could emerge if the index fails to break through the resistance at 1,366/1,374 points. 

<ul><li>Technically, the SET Index is expected to move sideways down, with the support at 1,340/1,330 points and the resistance at 1,356/1,365 points.</li><li>Overall, the index is expected to move in a downtrend in the range of 1,300-1,410 points.</li><li>Any rebound in the index is seen as a technical bounce back, likely due to the oversold condition as demonstrated by the oscillator indicator, with the short-term resistance at 1,356/1,365 points.</li></ul>

Technically, the SET Index is expected to move sideways down, with the support at 1,340/1,330 points and the resistance at 1,356/1,365 points.Overall, the index is expected to move in a downtrend in the range of 1,300-1,410 points.Any rebound in the index is seen as a technical bounce back, likely due to the oversold condition as demonstrated by the oscillator indicator, with the short-term resistance at 1,356/1,365 points.

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

<ul>
<li>We expect core earnings recovery in 2HFY23 (Oct’22-Mar’23) to come at slower pace than we previously expected given;1.)heavy marketing and set-up costs needed to be allocate for digital and financial </li>
<li>2QFY23 (July-Sept’22) core profit fell to four-quarter low The company reported 2QFY23 net profit at Bt474m. Excluding extra items, core earnings should be at Bt336m,(+6%YoY-45%QoQ),which is lower than market estimate.</li>
<li>QoQ contraction was due to equity income that turned to loss worth Bt116m compared with Bt213m shared-profit in in 1QFY23 mainly dragged down by disappointed performance from U-city (35% stake)</li>
</ul>


We expect core earnings recovery in 2HFY23 (Oct’22-Mar’23) to come at slower pace than we previously expected given;1.)heavy marketing and set-up costs needed to be allocate for digital and financial 
2QFY23 (July-Sept’22) core profit fell to four-quarter low The company reported 2QFY23 net profit at Bt474m. Excluding extra items, core earnings should be at Bt336m,(+6%YoY-45%QoQ),which is lower than market estimate.
QoQ contraction was due to equity income that turned to loss worth Bt116m compared with Bt213m shared-profit in in 1QFY23 mainly dragged down by disappointed performance from U-city (35% stake)


BTS : ’Core Earnings Should Recover Gradually in 2HFY23

<ul>
<li>We have a slight positive view on the company’s new investment in Thanulux PCL (TNL)as it expected to expand loan portfolio and strengthening synergy among business entities under financial service</li>
<li>Bonding with leading consumer products conglomerate ‘SPI’ The company announced to acquire newly issued ordinary shares under private placement of TNL,the ready-made clothes and leather ware manufacturers and the subsidiary</li>
<li>After the transaction complete by end of 2022, TNL will invest in the secured lending business (land as a collateral) called ‘Oxygen’ worth around Bt4.3bn (90% stake). Currently</li>
</ul>


We have a slight positive view on the company’s new investment in Thanulux PCL (TNL)as it expected to expand loan portfolio and strengthening synergy among business entities under financial service
Bonding with leading consumer products conglomerate ‘SPI’ The company announced to acquire newly issued ordinary shares under private placement of TNL,the ready-made clothes and leather ware manufacturers and the subsidiary
After the transaction complete by end of 2022, TNL will invest in the secured lending business (land as a collateral) called ‘Oxygen’ worth around Bt4.3bn (90% stake). Currently


BTS : Expect Long-Term Synergy with SPI PCL

<ul>
<li>We cut BTS target price to Bt10.20 (Previous TP:Bt11.0)after we trim target price of VGI (52% stake) to Bt4.60 as we factor in weaker-than-expected recovery in ad revenue and damage </li>
<li>1QFY23 (April-June’22) fell to three-quarter low The company reported 1QFY23 net profit at Bt536m. Excluding extra items, core earnings would be at Bt610m, (-49%YoY -28%QoQ).</li>
<li>A QoQ and YoY contraction pressured by revenue that drop to 16-quarter low at Bt4.0bn dragged down by construction revenue to Bt1.1bn (-80%YoY -30%QoQ) amid nearly completion of MRT pink </li>
</ul>


We cut BTS target price to Bt10.20 (Previous TP:Bt11.0)after we trim target price of VGI (52% stake) to Bt4.60 as we factor in weaker-than-expected recovery in ad revenue and damage 
1QFY23 (April-June’22) fell to three-quarter low The company reported 1QFY23 net profit at Bt536m. Excluding extra items, core earnings would be at Bt610m, (-49%YoY -28%QoQ).
A QoQ and YoY contraction pressured by revenue that drop to 16-quarter low at Bt4.0bn dragged down by construction revenue to Bt1.1bn (-80%YoY -30%QoQ) amid nearly completion of MRT pink 


BTS : Concern over Concession Extension Remain an Overhang on Stock

Thailand

BTS Group Holdings PCL is primarily in the business of Mass Transit.  The Company operates Bangkok's BTS SkyTrain system and the Bus Rapid Transit (BRT) System. BTS Group Holdings PCL is also involved in Media & Advertising, Property Development, and Services business.

BTS Group Holdings (BTS TB)

KTX Zoom - APRIL 24, 2024

Technically, the SET Index is expected to test the resistance at 1,366/1,374 points (10-day EMA/25-day EMA), with the support at 1,350/1,340 points.

Krungthai XSpring

KTX Zoom - APRIL 23, 2024

Technically, the SET Index is expected to move sideways down, with the support at 1,340/1,330 points and the resistance at 1,356/1,365 points.

Krungthai XSpring

BTS : ’Core Earnings Should Recover Gradually in 2HFY23

We expect core earnings recovery in 2HFY23 (Oct’22-Mar’23) to come at slower pace than we previously expected given; 1.) heavy marketing and set-up...

Pi Securities PCL, Thailand

BTS : Expect Long-Term Synergy with SPI PCL

We have a slight positive view on the company’s new investment in Thanulux PCL (TNL) as it expected to expand loan portfolio and strengthening...

Pi Securities PCL, Thailand

BTS : Concern over Concession Extension Remain an Overhang on Stock

We cut BTS target price to Bt10.20 (Previous TP: Bt11.0) after we trim target price of VGI (52% stake) to Bt4.60 as we factor in weaker-than...

Pi Securities PCL, Thailand