GREATER CHINA Results Aier Eye Hospital Group (300015 CH/BUY/Rmb12.72/Target: Rmb17.80) 2024: Satisfactory results; expects strong recovery in 2025. Upgrade to BUY. Ningbo Tuopu Group Co (601689 CH/BUY/Rmb50.96/Target: Rmb83.00) 4Q24: Earnings up 38.5% yoy, in line. Maintain BUY with target price unchanged at Rmb83.00. TAL Educational Group (TAL US/BUY/US$9.36/Target: US$14.00) 4QFY25: Earnings miss amid ramped-up investments in AI-powered learning. INDONESIA Sector Telecommun...
TTB posted a 1Q25 net profit of Bt5.1b (-5% yoy, flat qoq). The results were in line with consensus forecast but missed our expectation by 6%. The share buyback programme will help to limit the downside. TTB’s CEO said it is too soon to estimate the impact of US reciprocal tariffs. However, we expect TTB to raise its provision expenses given the uncertainties surrounding the US tariffs. We have factored in the expected policy rate of 1.5%. Downgrade to HOLD with a lower target price of Bt1.95.
KEY HIGHLIGHTS Results Krung Thai Bank (KTB TB/HOLD/Bt21.30/Target: Bt22.50) 1Q25: Results in line with consensus; bottom line beats our forecast due to investment gain. Downgrade to HOLD. Krungthai Card (KTC TB/BUY/Bt46.25/Target: Bt58.00) 1Q25: Results in line; credit costs decline qoq with a stabilised NPL ratio. TMBThanachart Bank (TTB TB/HOLD/Bt1.89/Target: Bt1.95) 1Q25: Results in line with consensus; reiterates selective lending po...
INDONESIA Small/Mid Cap Highlights Sariguna Primatirta (CLEO IJ/NOT RATED/Rp1,395) Strong growth track record in an industry with room for further expansion. MALAYSIA Update QL Resources (QLG MK/BUY/RM4.69/Target: RM4.80) Fairly insulated from trade tariff war but overall outlook does not excite. Maintain HOLD. WCT Holdings (WCTHG MK/SELL/RM0.635/Target: RM0.55) Minimal orderbook replenishments and inconsistent earnings deliv...
TTB posted a 4Q24 net profit of Bt5.1b (+2% yoy, -2% qoq). The results are in line with our and consensus forecasts. The contraction in loans in 2024 was due to a selective focus on growing a quality portfolio. The remaining tax benefit amounting to Bt10.6b will serve as a cushion to support growth. TTB preserved its good asset quality in 2024. The bank intends to reach a medium-term ROE milestone of 10%. Maintain BUY with a target price of Bt2.16.
KEY HIGHLIGHTS Results Kiatnakin Phatra Bank (KKP TB/HOLD/Bt51.50/Target: Bt52.00) 4Q24: Results a huge positive surprise, but provisions jump qoq. TMBThanachart Bank (TTB TB/BUY/Bt1.82/Target: Bt2.16) 4Q24: Results in line; well-controlled asset quality in 2024.
GREATER CHINA Sector Property: Per capita tourism spending weakens further despite a yoy increase in visitor numbers; 2025 will continue to be a challenging year. Update Jiumaojiu International Holdings (9922 HK/BUY/HK$2.74/Target: HK$4.00): Business operations deteriorate in 4Q24; being cautious on new store openings; continuous closures of underperforming stores may happen in 2025. INDONESIA Sector Property: Undemanding valuation amid increased uncertainty. MALAYSIA Update Hap Seng Plantati...
GREATER CHINA Economics PMI A strong rebound for non-manufacturing PMI. Sector Macau Gaming Dec 24 GGR below expectations; expect 2025 GGR to recover to 82% of 2019’s level. INDONESIA Update Mitra Keluarga Karyasehat (MIKA IJ/BUY/Rp2,540/Target: Rp3,300) Expect a double-digit earnings growth in 2025 MALAYSIA Sector Heal...
TTB posted a 3Q24 net profit of Bt5.2b (+11% yoy, -2% qoq). The results are in line with our and consensus forecasts. The contraction in loans was due to a selective focus on growing a quality portfolio and increased loan repayments. The remaining tax benefit amounting to Bt11.7b will serve as a cushion to support growth. The bank plans to shorten term deposits ahead of the rate cut. Therefore, we should see an increase in NIM afterwards. Upgrade to BUY with a higher target price of Bt2.16.
KEY HIGHLIGHTS Results Kiatnakin Phatra Bank (KKP TB/HOLD/Bt52.50/Target: Bt54.00) 3Q24: Results a huge positive surprise; a large reduction in credit cost. Krungthai Card (KTC TB/BUY/Bt48.50/Target: Bt60.00) 3Q24: Results in line; credit cost and NPL ratio down qoq. TMBThanachart Bank (TTB TB/BUY/Bt1.83/Target: Bt2.16) 3Q24: Results in line; lower credit cost qoq. Upgrade to BUY. Update Thai Union Group (TU TB/BUY/Bt14.80/Targ...
GREATER CHINA Economics Economic Activity 3Q24 GDP growth slows to 4.6% yoy, but September shows stabilisation. Results Contemporary Amperex Technology (300750 CH/BUY/Rmb249.89/Target: Rmb350.00) 3Q24: Earnings in line. Maintain BUY. Target price: Rmb350.00. Fuyao Glass Industry Group (3606 HK/BUY/HK$56.60/Target: HK$68.00) 3Q24: Core earnings spike 53.5% yoy, in line with estimates. Maintain BUY. Target price: HK$68...
GREATER CHINA Sector Hong Kong Property Results wrap-up for Hong Kong developers: Navigating the cycle. INDONESIA Update XL Axiata (EXCL IJ/BUY/Rp2,270/Target: Rp2,900) Fixed broadband ARPU might increase by 10% post-acquisition of ServeCo. MALAYSIA Sector Utilities A strong 2Q24 with companies coming in broadly within expe...
GREATER CHINA Sector Online Travel Agencies: Robust Qingming festival travel momentum continues into Labour Day. Results Dian Diagnostics (300244 CH/BUY/Rmb14.36/Target: Rmb18.50): 2023: Results in line; smooth progress in developing esoteric testing business. EVE Energy (300014 CH/SELL/Rmb35.00/Target: Rmb20.00): 4Q23: Earnings miss on margins. Maintain SELL. Cut target price from Rmb24.00 to Rmb20.00. Huizhou Desay SV Automotive Co (002920 CH/BUY/Rmb118.01/Target: Rmb145.00): 1Q24: Earnings mi...
TMBTHANACHART BANK (TH), a company active in the Money Center Banks industry, loses a star(s) at the fundamental level and sees its general evaluation downgraded. The independent financial analyst theScreener just removed a fundamental star(s) for a 2 over 4-star rating. As such, market behaviour remains unchanged and is evaluated as moderately risky. theScreener believes that the loss of a star(s) merits downgrade to the general evaluation of the title, which passes to Neutral. As of the analys...
TTB’s 3Q21 earnings were higher yoy but lower qoq and were in line with our expectations. The NPL ratio ticked up on higher NPLs. 4Q21 earnings are expected to rise on an improvement in economic activities from economic reopening. Earnings are expected to moderately rise 6% yoy in 2021 and are likely to accelerate 11% yoy in 2022, underpinned by lower provisions and higher fee income. Maintain HOLD with a target price of Bt1.30.
Full Article at IIR has reaffirmed its Recommended rating for PIA after undertaking a review post the appointment of a new Portfolio Manager, Harding Loevner. The full report can be found on the IIR website. On 26 July 2021, Pengana International Equities Limited (PIA) announced a fully franked dividend of 1.35 cents per share for the June quarter. This represents an 8% increase on the March quarter dividend and takes the total dividends declared for FY21 of 5.1 cents per share, fully franked....
New COVID-19 infection cases are on the rise in Malaysia, Thailand and, to a smaller extent, Singapore. There are short-term headwinds as ASEAN countries tighten safe distancing measures to break the chain of local COVID-19 transmission. Singapore and Thai banks have reported strong 1Q21 results. Maintain OVERWEIGHT on Singapore and Malaysian banks. Our top BUYs are OCBC (Target: S$15.05), CIMB (Target: RM5.10), BBL (Target: Bt149) and BMRI (Target: Rp7,700).
GREATER CHINA Sector Aviation: 1Q21 earnings preview: Expecting sequential qoq losses. Downgrade to MARKET WEIGHT. Reinitiate Coverage Goldwind Science & Technology (2208 HK/BUY/HK$13.82/Target: HK$16.00) : Solid WTG shipment with recovering gross margin. Results Great Wall Motor (2333 HK/HOLD/HK$24.45/Target: HK$24.50): 1Q21: Net profit dropped 41% yoy to Rmb1,639m, missing estimates. Maintain HOLD. Target price: HK$24.50. Entry price: HK$19.00. INDONESIA Update Erajaya Swasembada (ERAA IJ/BUY...
UOBKH ASEAN Banks Index gained 3.4% in February, led by Thailand and Singapore. We see twin positives of smooth progress in COVID-19 vaccination and higher government bond yields. We expect ASEAN banks to deliver lower credit costs and higher dividends in 2021. Maintain OVERWEIGHT. Our top BUYs are OCBC (Target: S$14.68), CIMB (Target: RM5.10), BBL (Target: Bt149) and BMRI (Target: Rp8,100).
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