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

We initiate coverage on INOX with a BUY rating and a 2018E target price ofBt1.90, based on a PBV’18E of 1.6x, which is the average of the Thai Materials sector.The story:<ul><li>Multiple benefits as subsidiary of global steel producer</li><li>On track to be steel player with least volatile margin</li><li>Competitive advantage to drive volume growth</li><li>First in line for 15% CAGR for EPS in 2018-19E</li></ul>Risks: <ul><li>Risk of fluctuation in exchange rates</li><li>Raw-material price risk</li></ul>

We initiate coverage on INOX with a BUY rating and a 2018E target price ofBt1.90, based on a PBV’18E of 1.6x, which is the average of the Thai Materials sector.The story:Multiple benefits as subsidiary of global steel producerOn track to be steel player with least volatile marginCompetitive advantage to drive volume growthFirst in line for 15% CAGR for EPS in 2018-19ERisks: Risk of fluctuation in exchange ratesRaw-material price risk

INOX: Rerating on Business Shift to Greater Stability

Posco Thainox

INOX: Rerating on Business Shift to Greater Stability