Kaohoon Online has selected stocks with a high-growth potential for investors to consider on August 16, 2023.
KGI Securities has given an “Outperform” rating on Charoen Pokphand Foods Public Company Limited (SET: CPF) with a target price at ฿25.00/share.
KGI stated that it had a more positive view on CPF going forward after the very weak 1H23 earnings as swine prices overseas have improved, especially in China and Vietnam. The decline in feed cost should be partly offset by weakness in swine price in Thailand and shrimp price in many countries. The strong performance of the retail business should be another supporting factor.
However, because of the large loss in 1H23 and Thailand’s swine price being revised down, KGI expected CPF to report a loss for 2023F and revised down 2024F forecast 15%. KGI maintained a rating of Outperform, believing earnings have already bottomed out. The brokerage firm rolled the target price over to 2024 at Bt 25.00, from Bt24.50.
Maybank Securities (Thailand) (MST) has given a “BUY” recommendation on CP Axtra Public Company Limited (SET: CPAXT) with a target price at ฿40.00/share.
MST stated that in 3Q23, MAKRO’s SSSG outlook is expected to expand, while Lotus’s is anticipated to begin turning around. The profit margin should remain stable due to intense competition. Additionally, the store expansion plans in 2H23 are likely to contribute to earnings showing signs of recovery and accelerating in 4Q23.
