Kaohoon Online has selected stocks with a high-growth potential for investors to consider on March 31, 2023.
Finansia Syrus Securities (FSS) has given a “BUY” recommendation on Bangkok Airways Public Company Limited (SET: BA) with a target price at ฿18.00/share.
FSS maintained its positive outlook on HMPRO’s 2023 profit as the company cut its fleet to 26-28 from a total of 35, increasing its profit making. Meanwhile, the number of passengers and Revenue per Available Seat Kilometre (RASK) is expected to recover following the rebound in the tourism sector. 1Q23 profit should accelerate amid peak season in Samui Island.
FSS expected BA’s earnings in 2023 at 918 million baht, bouncing back from a net loss last year.
BA also has income from other businesses, including its cargo business and dividend income from Bangkok Dusit Medical Services Pcl (SET: BDMS) as well as changing SPF to BAREIT, resulting in lower fixed costs.
Asia Plus Securities (ASPS) has given a “BUY” recommendation on Home Product Center Public Company Limited (SET: HMPRO) with a target price at ฿16.80/share.
1Q23 net profit is estimated at B1.5bn, falling 7%qoq due to seasonal effect but growing 2%yoy. Revenue growth (yoy) will be negated by increasing expenses, mainly from electricity cost and expenses from events HMPRO held.
1Q23 profit is expected to make up 22% of 2023 forecast (plus small downside). Stronger profit growth is expected from 2Q23 on. ASPS maintained earnings forecast at B6.9bn (growing 11%yoy) in 2023 and B7.4bn (growing 7%yoy) in 2024. 2023 fair value is B16.80 (P/E ratio of 32x, down 0.5SD), still showing 16% upside. 2023 dividend yield is expected at 2.8%. BUY for long-term investment.
