VGI Gains 10% amid Better Outlook in 2023 from Outdoor Activities

The share price of VGI Public Company Limited (SET: VGI) rose 10% in yesterday’s trading session, edging higher to close at THB4.84 per share, its highest in six months.

Kingsford Securities published an analysis, giving a “BUY” recommendation on VGI Public Company Limited (SET: VGI) with a target price from IAA Consensus at THB4.72.

Kingsford stated that the second quarter performance for 2022/23FY (Jul-Sep) should be better than the previous quarter and the second quarter of last year, as the amount of BTS riderships increased to  40 million trips, representing an increase by 32% from the previous quarter.

Digital service sector’s income grew from the usage of rabbit cards, while the company recognized lower loss sharing from JV in KEX and a surge of profit from JMART. Its third quarter profit outlook for 2022/23FY (Oct-Dec) is expected to be continually better compared to the last quarter and the second quarter of last year, primarily from the U-Rate of advertising media that should edge up over 50% with an advantage from entering a high season that people have more outdoor activities and travelling.