On Monday at 10:03 AM (Bangkok time), the share price of SCG Packaging Public Company Limited (SET: SCGP) slumped by 4.17% or THB 1.00 to THB 23.00, with a trading value of THB 202.52 million.
Krungthai XSpring Securities noted that the MSCI Quarterly Review will take effect at the closing of today’s trading session. There were no additions of Thai stocks in the latest review in the MSCI Global Standard Indexes, but SCGP was the sole stock in the index to be deleted from the weighing.
The MSCI Small Cap Indexes also saw the addition of CCET but the removal of TQM. It is anticipated that there will be purchasing power for the newly added stocks and selling pressure for those removed from the MSCI index from passive funds.
In addition, Trinity Securities reiterated a ‘Hold’ rating for SCGP, setting a price target of THB 26.50 per share. The analyst anticipated a rebound in SCGP’s fourth-quarter 2024 earnings compared to the third quarter, projecting a range of THB 1-1.2 billion. This surge is predicted to stem from reduced recycled paper expenses, consequently boosting the company’s profit margins.
