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

Thai Foods Group Public Company Limited / Equity Bottom-Up

Thai Foods Group Public Company Limited (TFG TB)

<div><div><div><ul><li>KTX has revised up our rating to Buy (fair value of Bt5.55, based on the earnings yield and a required rate of return of 9.0%).</li><li>The valuation metrics suggest that the tactical downside risk is limited after the share price drop of over 20% since before Songkran, and we have a positive view on the fundamentals in both the short and long term; we expect earnings growth of 15% YoY in 2024E due to the recovery in the gross profit margin and the expansion of the retail business.</li><li>TFG should also see the lowest operating expenses to sales amongst peers at around 6.2%, making the profit margin immune to pressure from meat price fluctuations.</li></ul></div></div></div>

KTX has revised up our rating to Buy (fair value of Bt5.55, based on the earnings yield and a required rate of return of 9.0%).The valuation metrics suggest that the tactical downside risk is limited after the share price drop of over 20% since before Songkran, and we have a positive view on the fundamentals in both the short and long term; we expect earnings growth of 15% YoY in 2024E due to the recovery in the gross profit margin and the expansion of the retail business.TFG should also see the lowest operating expenses to sales amongst peers at around 6.2%, making the profit margin immune to pressure from meat price fluctuations.

Thaifoods Group (TFG TB) - 2024E Earnings to Grow by 15%; Expecting a HoH Recovery in 2H23E