In today’s briefing:
- BCH: Good Value but Limited Room for Growth
- SHR: Expect Rapid Recovery in 2022
BCH: Good Value but Limited Room for Growth
- Maintain HOLD rating with a TP of B21.00, based on 14.36xPE’22E, which is close to -2SD of 3-years trading average. Despite expected 43% drop in 22E earnings,rising Omicron cases coupled
- Its 4Q21 earnings was at Bt2.5bn (+791% YoY,-14%QoQ), suppressed QoQ upon weak revenue growth, caused by lower Covid-related revenue.
- BCH’s 2021 earnings was at Bt6.8bn, grew 454%YoY, attributed to solid revenue growth (+139%YoY) and margin expansion (+17ppts), upon higher Covid-contribution.
SHR: Expect Rapid Recovery in 2022
- We maintain BUY rating and raise TP by +25% to Bt4.50 derived from 1x PBV’22E, to reflect better outlook post-COVDID crisis.
- About 98%of its hotel properties have already resumed operation by the late last year.This along with complete opening up of international borders will be the key earnings drivers for 2022
- Maldives and Thailand international demand has shown growing trend since 2Q21 and been in continuing growth in 1Q22 following reopening countries especially in UK and Maldives.We expect strong earnings recovery
Before it’s here, it’s on Smartkarma
