Brokers have shared positive perspectives on Minor International Public Company Limited (SET: MINT), particularly regarding its strategic shift towards an asset-light model.
DBS maintains a “BUY” position for MINT with a target price of THB36.50, owing to the robust turnaround seen in the first quarter of 2025. This recovery was fueled by strong hotel revenue per available room (RevPar) and effective cost-reduction measures. The RevPar showed promising growth in key markets, and booking data suggests continued positive momentum heading into the high season. MINT has reaffirmed its commitment to transitioning both its hotel and food sectors towards an asset-light approach.
Meanwhile, CLSA has labeled MINT as “OUTPERFORM” and highlights its cautious stance, adjusting its target price to THB40. Following a neutral perspective from the recent analyst meeting, CLSA notes the management’s prudent strategy amidst the challenging environment in Thailand’s tourism sector and increased global uncertainties.
The company plans to reduce its capital expenditure guidance for 2025 by 36% and is focused on debt repayment. It aims to repay at least Bt7.4 billion in interest-bearing debt by the second quarter of 2025, with a goal to maintain a net interest-bearing debt to equity ratio of 0.75x by the year’s end.
Despite these changes, Minor International remains CLSA’s top pick in the tourism industry, favored for its diverse hotel portfolio and potential gains from its deleveraging initiative. While the target price has been slightly reduced from Bt42 to Bt40, the “Outperform” recommendation stands firm, underscoring confidence in Minor’s strategic direction.
