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THAILAND EQUITY RESEARCH
Page | 1 | PHILLIP SECURITIES (THAILAND)
Land and Houses FY17 business plan THAILAND | SET | PROP | COMPANY VISIT BLOOMBERG LH TB l REUTERS LH.BK Less aggressive business targets set for FY17 Due to the shortfall in new land acquisitions in FY16, management has guided that the number of new project launches in FY17 will be lower than what it rolled out in FY16. LH spent only Bt5.7bn on new land acquisitions in FY16, falling short of its budget target of Bt7bn and most of the land acquisition transactions took place by end-FY16. For FY17, LH plans to roll out only 12 new projects worth Bt14.9bn total, comprising 11 SDH/TH projects worth a combined Bt12.9bn and 3 condo projects worth a combined Bt2bn, against 13 new project launches worth Bt18.59bn in total in FY16, consisting of 12 SDH/TH projects worth a combined Bt14.59bn and 1 condo project worth Bt4bn. One of the total 3 condo projects planned for FY17 will be the Bt1.6bn ‘The Bangkok Sukhumvit 38’ of which the launch has been delayed from 4QFY16 and the other two projects will be small-scale condo developments in Chiang Mai Province under the name of ‘North 6’ and ‘North 7’ worth Bt320mn in total. The lower number of new project launches has led LH to set a total presales target of Bt26bn in FY17. The target is based on assumptions that SDH/TH presales will edge up a modest 5% while condo presales will rise substantially from FY16 on the prospect of better market conditions amid improvement in homebuyer confidence. LH has also targeted revenue of Bt31bn for FY17 based on a backlog of up to Bt12bn carried forward from FY16. However, LH has rescheduled some ownership transfers of 5 condo projects worth around Bt4bn in total from FY17 to FY18. The above 5 condo projects include ‘The Room Sukhumvit 69,’ ‘The Room Sathorn 11,’ ‘The Room Charoenkrung,’ ‘333 Riverside,’ and ‘The Bangkok Sathorn.’ Core property development aside, management sees room for growth in rental and service business in FY17 after the acquisition of two serviced apartments in the US in FY16 and the plan to bundle the Grand Center Point (GCP) Hotel & Residence Ratchadamri into LH Hotel Leasehold Real Estate Investment Trust (LHHOTEL) in FY17. By our estimate, we expect LH will book a one-off gain of around Bt966mn from the sale of the above hotel to LHHOTEL. The forecast assumes (i) an accounting cost of the hotel at Bt1,530mn, (ii) a selling price of Bt3,043mn, a discount from an appraised market price of Bt3,580mn, (iii) a 20% tax and (iv) selling expenses at around 10% of the selling price. Core property development business and spinoff of hotel to LHHOTEL seen as keys to FY17 profit growth The above business plan prompts us to slash our FY17 norm profit outlook for LH by 7%. In our new forecast, we cut our FY17 revenue view for LH to Bt31bn from Bt34bn to match management’s guidance. The revenue cut reflects (i) the reschedule of some ownership transfers for the above 5 condo projects to FY18 and (ii) a slash in our SDH/TH presales growth forecast for FY17 to 2% from 5%. Despite a likely pickup in construction materials prices in FY17, margins tend to hold steady as slight selling price increases in a modestly improving market environment should offset the impact of cost escalation. Our new forecast shows LH’s norm profit will rise 6% y-y in FY17 and its net profit will grow at a stronger pace of 11% y-y thanks largely to the above potential gain from the spinoff of GPC Hotel & Residence Ratchadamri to LHHOTEL. ‘ACCUMULATE’ rating with Bt10.30/share We rate an ‘ACCUMULATE’ call on LH shares with a Bt10.30/share target price in light of its favorable earnings growth outlook and attractive valuation. Despite the above cut in FY17 norm profit forecast, growth is likely to remain favorable in FY17 on the back of core property development business and potential gain from the spinoff of the above hotel to LHHOTEL. Current valuation also looks undemanding as LH currently sports a P/E of a mere 14x, which still implies a discount to its historical P/E average of 15x, and a dividend yield of up to 6%.
Ref. No.: CO2017_0041
Closing Price(Bt) 9.50Target Price(Bt) 10.30 (+14.91%)
COMPANY DATA
O/S Shares (mn) : 11,894 Market Cap. (Btmn) :Market Cap. (USDmn) :52-WK Hi/Lo (Bt) : 10.4/7.553M Average Daily T/O (mn) : 16.92Par Value (Bt) : 1.00
MAJOR SHAREHOLDERS (%)
1. Anan Asavapokin 24.32. Thai NVDR 17.73. GIC PRIVATE LIMITED - C 16.4
PRICE PERFORMANCE (%)
1MTH 3MTH 1YRABS 4% 3% 7%REL TO SET INDEX 2% -2% -14%
PRICE VS SET INDEX
Source: Bloomberg, PSR
KEY FINANCIALS
FYE Dec FY15 FY16E FY17E FY18ESales(Btmn) 26,322 29,440 33,929 30,022Net Profit(Btmn) 7,920 8,146 9,065 7,171EPS (Bt) 0.69 0.69 0.77 0.61P/E (X) 13.8 13.7 12.3 15.6BVPS (Bt) 4.00 4.00 4.21 4.27P/B (X) 2.4 2.4 2.3 2.2DPS (Bt) 0.60 0.60 0.62 0.52Dividend Yield (%) 6.3 6.3 6.5 5.5ROE (%) 17.91 17.77 19.18 14.71Debt/Equity (X) 1.37 1.50 1.51 1.87
Source: Company, PSR Est.**Multiples and yields are based on latest clos ing price
VALUATION METHOD
P/E'17 (15x)
Danai Tunyaphisitchai, CFACapital Market Investment Analyst # 2375Tel: 66 2 635 1700 # 481
112,989 3,192
29 August 2016
Accumulate (Maintain)
20 January 2017
0
5
10
15
Jan-14 Jan-15 Jan-16 Jan-17
LH TB EQUITY SETI (rebased)
Page | 2 | PHILLIP SECURITIES (THAILAND)
Land and Houses COMPANY VISIT
Financials
Income Statement Cash FlowFYE Dec, Btmn FY15 FY16E FY17E FY18E FYE Dec, Btmn FY15 FY16E FY17E FY18ERevenue 26,322 29,440 33,929 30,022 CFOEBITDA 5,817 6,550 7,140 6,040 PBT 10,268 10,167 10,431 8,308Deprecia ti on & Amorti sa ti on 382 336 249 254 Adjustments -4,045 -3,218 -1,949 -1,892EBIT 5,435 6,214 6,891 5,786 WC changes -3,504 -645 -10,891 -2,907Net Fi nance (Expens e)/Inc -227 -286 -294 -335 Cas h generated from ops 2,719 6,304 -2,409 3,509Other i tems 336 334 231 231 Others -2,519 -2,589 -1,693 -1,505As soci ates & JVs 2,437 2,720 2,691 2,680 Cashflow from ops 200 3,716 -4,101 2,004Excepti ona l i tems 1,877 936 966 0 CFIProfit Before Tax 9,858 9,917 10,485 8,362 CAPEX, net -2,619 -5,017 -80 -80Ta xa ti on -1,192 -1,255 -1,366 -1,136 Others 4,402 4,264 515 552Profit After Tax 8,667 8,662 9,120 7,226 Cashflow from investments 1,783 -753 435 472Non-controll i ng Interest 746 517 54 54 CFFNet Income, reported 7,920 8,146 9,065 7,171 Sha re is suance 2,630 -188 0 0Net Income, adj. 6,731 7,642 8,099 7,171 Loans , net of repayments 6,478 -2,633 10,000 4,300
Di vi dends -7,583 -8,202 -6,666 -6,610Per share data Others -921 -346 0 0FYE Dec, Bt FY15 FY16E FY17E FY18E Cashflow from financing 604 -11,369 3,334 -2,310EPS, reported 0.69 0.69 0.77 0.61 Net change in cash 2,587 -8,407 -333 165EPS, adj. 0.59 0.65 0.69 0.61 Effects of excha nge ra tes 0 0 0 0DPS 0.60 0.60 0.62 0.52 CCE, end 8,957 739 407 572BVPS 4.00 4.00 4.21 4.27
Valuation RatiosBalance Sheet FYE Dec FY15 FY16E FY17E FY18EFYE Dec, Btmn FY15 FY16E FY17E FY18E P/E (X), a dj.** 16.2 14.6 13.8 15.6Ca sh 8,957 739 407 572 P/B (X), a dj.** 2.4 2.4 2.3 2.2Investments 1,202 55 55 55 Di vi dend Yie ld (%) 6.3 6.3 6.5 5.5Accounts Recei vables 184 14 18 13Inventori es 48,118 51,620 62,604 64,242 GrowthOthers 1,921 1,545 1,545 1,545 FYE Dec, % FY15 FY16E FY17E FY18ETotal current assets 60,382 53,974 64,629 66,427 Revenue -7.28 11.84 15.25 -11.51PPE 311 368 379 386 EBITDA -13.83 12.61 9.00 -15.41Intangi bl es 0 0 0 0 EBIT -12.00 14.33 10.90 -16.04As soci ates & JVs 18,964 19,904 22,080 24,209 Net Income, adj. -2.63 13.53 5.99 -11.46Investments 5,210 5,472 5,472 5,472Others 13,203 16,616 16,324 16,031 Margins Total non-current assets 37,688 42,360 44,255 46,098 FYE Dec, % FY15 FY16E FY17E FY18ETotal Assets 98,070 96,333 108,884 112,525 EBITDA ma rgi n 22.10 22.25 21.04 20.12Short term l oans 9,166 11,499 22,499 17,799 EBIT margi n 20.65 21.11 20.31 19.27Accounts Payabl es 3,218 3,671 3,748 2,454 Net Profi t Ma rgin 30.09 27.67 26.72 23.89Others 4,666 5,162 5,182 5,202Total current liabilities 17,050 20,332 31,429 25,455 Key RatiosLong term l oa ns 32,769 27,450 26,450 35,450 FYE Dec FY15 FY16E FY17E FY18EOthers 1,356 1,377 1,377 1,377 ROE (%) 17.91 17.77 19.18 14.71Total non-current liabilities 51,175 49,160 59,256 62,282 ROA (%) 8.56 8.38 8.83 6.48Non-controll i ng interests 1,269 1,115 1,169 1,224 Net Debt/(Ca sh) (Btmn) 32,978 38,210 48,543 52,678Shareholder Equities 45,626 46,059 48,458 49,019 Net Gea ring (X) 0.60 0.71 0.83 0.77Source: Company Da ta , PSR est**Based on latest closing price
Page | 3 | PHILLIP SECURITIES (THAILAND)
Land and Houses COMPANY VISIT
Fact Sheet
GENERAL INFORMATION RISK FACTORSAddres s: 1. Economic growth/empl oyment rate/i nterest rate
2. Demand/supply equi l i brium i n the res identi a l property market 3. Government inves tment pol icy
Tel :Fax:URL:Market/Sector:
BUSINESS DESCRIPTION KEY DEVELOPMENT
REVENUE BREAKDOWN as of KEY FINANCIAL SUMMARYBtmn 3Q16 2Q16 1Q16 4Q15 3Q15Sal es 6,933 7,788 7,645 8,830 5,849 Gros s profi t 2,483 2,667 2,579 3,038 1,999 Net profit 1,993 2,631 1,996 3,389 1,482 Assets 94,863 386,241 379,241 365,003 344,268 Li abi l i ti es 49,229 252,880 248,710 235,431 221,172 Equi ties 45,634 133,360 130,531 129,573 123,095 EPS (Bt) 0.17 0.22 0.17 0.30 0.13 BVPS (Bt) 3.87 4.08 4.24 4.00 3.82 GPM (%) 36% 34% 34% 34% 34%NPM (%) 29% 34% 26% 38% 25%
Source: Company, PSR Source: Company, PSR
PEER COMPARISON * updated onas of Mkt Cap. P/E P/BV Div Yield
(Btmn) (x) (x) (%)Land & Houses PCLLH TB 9/16 112,989 11.2 2.4 7.4Qual ity Houses PCLQH TB 9/16 28,072 7.7 1.3 6.1SC As set Corp PCLSC TB 9/16 14,711 6.0 1.1 5.1Supa la i PCLSPALI TB 9/16 42,914 8.4 2.2 4.0Source: Bl oomberg, PSR
Source: Company, PSR *Data bas ed on tra i l i ng 12 months earni ngs , book val ue and dividend per sha re
31 December 2015
66 2 343 890066 2 237 9861http://www.lh.co.th
QH Lumpini FL37-38, 1 South Sathorn Rd,Tungmahamek, Sathorn, Bangkok
Property Development
LH i s a lea ding res identia l property deve loper i n Tha i l and.Currently i t ha s 50 projects on ha nd, coveri ng a l l types ofdevelopments i ncl udi ng s i ngle-detached houses , townhousesand condomi ni um. LH a ls o owns rental properti es and holdsre lated strong funda mental compani es s uch as QH, HMPRO andLHBANK.
Company name
- Yr 2015: LH sold an a partment bui lding in Ca l i forni a for Bt607mn and booked a pre-tax gai n of Bt217mn from the s ale i n
- Yr 2014: LH ra i sed capi ta l through the is suance of fi ve-for-one warrants and bundl ed a shoppi ng center i nto LHSC by year-end.- Yr 2013: LH bought an apartment bui ldi ng i n the US for Bt3.3bn as part of its strategies to boost rental i ncome.- Yr 2012: LH spun off three rental properti es i nto LHPF a nd cut its inves tment stake i n the Phi l i ppi nes to 9% from 25%.
31 December 2015
19 January 2017TOTAL REVENUE/NORMALIZED PROFIT
Property Sales92%
Rental Income
8%
Other Income
0%
05,000
10,00015,00020,00025,00030,000
2012 2013 2014 2015
Total Revenue Nomalized Profit
Page | 4 | PHILLIP SECURITIES (THAILAND)
Land and Houses COMPANY VISIT
Corporate Governance - 2016
AMATA AOT BAFS BAY BCP BIGC BTS BWG CK CPFCPN CSL DELTA DEMCO DRT DTAC DTC EASTW EGCO GFPTGPSC GRAMMY HANA HMPRO INTUCH IRPC IVL KBANK KCE KKPKTB KTC LHBANK LPN MBK MCOT MINT MONO NKI NYTOTO PHOL PPS PS PSL PTT PTTEP PTTGC QH QTCRATCH SAMART SAMTEL SAT SC SCB SCC SCCC SE-ED SIMSITHAI SNC SPALI SSSC STEC SVI TCAP THCOM TISCO TKTTMB TNDT TOP TSC TTCL TU UV VGI WACOAL WAVE
2S AAV ACAP ADVANC AGE AH AHC AKP ALUCON AMANAHANAN AP APCO APCS ARIP ASIA ASIMAR ASK ASP AUCTAYUD BANPU BBL BDMS BEM BFIT BLA BOL BROOK CENCENTEL CFRESH CGH CHG CHO CHOW CI CIMBT CKP CMCNS CNT COL CPI DCC EA ECF EE ERW FORTHFPI GBX GC GCAP GL GLOBAL GLOW GUNKUL HOTPOT HYDROICC ICHI IFEC INET IRC JSP K KSL KTIS L&ELANNA LH LHK LIT LOXLEY LRH LST M MACO MALEEMBKET MC MEGA MFC MOONG MSC MTI MTLS NCH NOBLENSI NTV OCC OGC OISHI ORI PACE PAP PB PCSGHPDI PE PG PJW PLANB PM PPP PR PRANDA PREBPRG PRINC PT PTG PYLON Q-CON RICHY ROBINS RS RWIS S & J SABINA SALEE SAMCO SCG SEAFCO SFP SIAM SINGERSIS SMK SMPC SMT SNP SPI SPPT SPRC SR SSFSST STA SUSCO SUTHA SWC SYMC SYNEX SYNTEC TAE TAKUNITASCO TBSP TCC TF TFI TGCI THAI THANA THANI THIPTHRE THREL TICON TIPCO TK TKS TMC TMI TMILL TMTTNITY TNL TOG TPC TPCORP TRC TRU TRUE TSE TSRTSTE TSTH TTA TTW TVD TVO TWPC UAC UP UPFVIH VNT WINNER YUASA ZMICO
AEC AEONTS AF AIRA AIT AJ AKR AMARIN AMATAV AMCAPURE AQUA ARROW AS BA BEAUTY BEC BH BIG BJCBJCHI BKD BR BROCK BRR BTNC CBG CGD CHARAN CITYCMR COLOR COM7 CPL CSC CSP CSR CSS CTW DCONDIMET DNA EARTH EASON ECL EFORL EPCO EPG ESSO FEFER FOCUS FSMART FSS FVC GEL GIFT GLAND GOLD GSTELGYT HPT HTC HTECH IFS IHL ILINK INSURE IRCP ITITD J JMART JMT JUBILE JWD KASET KBS KCAR KGIKKC KOOL KWC KYE LALIN LPH MAJOR MAKRO MATCH MATIM-CHAI MDX MFEC MJD MK MODERN MPG NC NCL NDRNEP NOK NUSA PATO PCA PDG PF PICO PIMO PLPLAT PLE PMTA PPM PRIN PSTC QLT RCI RCL RICHRML RPC SANKO SAPPE SAWAD SCI SCN SCP SEAOIL SENASIRI SKR SLP SMG SMIT SORKON SPA SPC SPCG SPVISSC STANLY STPI SUC TACC TCCC TCMC TEAM TFD TFGTIC TIW TKN TLUXE TMD TNP TOPP TPA TPAC TPCHTPIPL TPOLY TRITN TRT TTI TVI TWP U UBIS UMIUPOIC UT UWC VIBHA VPO VTE WICE WIIK WIN XO
Score Range
< 50%
50-59%
60-69%
70-79%
80-89%
90-100%
The di sclosure of the survey result of the Thai Institute of Directors Association (IOD) regarding corporate governance is made pursuant to the Office of the Securities and Exchange Commission. The survey of the IOD is based on the information of a company l isted on the Stock Exchange of Thailand and the Market for Alternative disclosure to the publ ic and able to be accessed by a general public investor. The results, therefore, is from the perspective of a third party. It is not an evaluation of operation and is not based on inside information.
The survey resul t is as of the date appearing in the Corporate Governance Report of Thai Listed Companies. As a result, the survey result may be changed after that data. Phil l ip Securities (Thailand) of securi ties company does not confirm nor certi fy the accuracy of such survey result.
No logo given
Number of Logo
Results Presentation
Page | 5 | PHILLIP SECURITIES (THAILAND)
Land and Houses COMPANY VISIT
Declared2S A ABC ABICO ACAP AEC AF AGE AH AIAIE AIRA ALUCON AMARIN AMATA ANAN AOT AP APCO APCSAPURE AQUA AS ASIA ASIAN ASIMAR ASK BCH BEAUTY BFITBH BIGC BJCHI BKD BLAND BROCK BROOK BRR BSBM BTNCCEN CGH CHARAN CHO CHOTI CHOW CI CM COL CPALLCPF CPL CSC CSR CSS DELTA DNA EA ECF EEEFORL EPCO ESTAR EVER FC FER FNS FPI FSMART FVCGC GEL GFPT GIFT GLOBAL GPSC GREEN GUNKUL HMPRO HOTPOTICHI IEC IFS ILINK INET INOX INSURE IRC J JASJMART JMT JTS JUBILE JUTHA K KASET KBS KC KCARKSL KTECH KYE L&E LALIN LPN LRH LTX LVT MMAKRO MALEE MBAX MC MCOT MEGA MFEC MIDA MILL MINTMJD MK ML MPG MTLS NBC NCH NCL NDR NINENMG NNCL NPP NTV NUSA OCC OGC PACE PAF PCAPCSGH PDG PDI PIMO PK PLANB PLAT PRANDA PREB PRGPRINC PSTC PYLON QH RML ROBINS ROCK ROH ROJNA RPRWI SAMCO SANKO SAUCE SC SCCC SCN SEAOIL SE-ED SENASGP SITHAI SKR SMIT SMK SORKON SPALI SPCG SPPT SPRCSR SRICHA STA STANLY SUPER SUSCO SYMC SYNEX SYNTEC TAETAKUNI TASCO TBSP TEAM TFG TFI THAI TIC TICON TIPTKT TLUXE TMC TMI TMILL TMT TPA TPP TRT TRUTRUE TSE TSI TSTE TTW TU TVD TVO TVT TWPCU UBIS UKEM UNIQ UOBKH UREKA UWC VGI VIBHA VNGVNT WAVE WHA WICE WIIK WIN XO ZMICO
CertifiedADVANC AKP AMANAH ASP AYUD BAFS BANPU BAY BBL BCPBKI BLA BTS BWG CENTEL CFRESH CIMBT CNS CPI CPNCSL DCC DEMCO DIMET DRT DTAC DTC EASTW ECL EGCOERW FE FSS GBX GCAP GLOW HANA HTC ICC IFECINTUCH IPRC IVL KBANK KCE KGI KKP KTB KTC LANNALHBANK LHK MBK MBKET MFC MINT MONO MOONG MSC MTINKI NSI OCEAN PB PE PG PHOL PM PPP PPSPR PSL PT PTG PTT PTTEP PTTGC Q-CON QLT RATCHS & J SABINA SAT SCB SCC SCG SINGER SIS SMPC SNCSNP SPC SPI SSF SSI SSSC SVI TCAP TCMC TFTGCI THANI THCOM THRE THREL TIPCO TISCO TMB TMD TNITYTNL TOG TOP TPC TPCORP TSC TSTH TTCL TVI WACOAL
Non-participationAAV ACC ADAM AEONTS AHC AFC AIT AJ AJD AKRALLA ALT AMATAV AMC APX AQ ARIP ARROW ASEFA ASNATP30 AUCT BA BAT-3K BCPG BDMS BEC BEM BGT BIGBIZ BJC BLISS BM BOL BPP BR BRC BSM BTCBTW BUI CBG CCET CCN CCP CGD CHEWA CHG CHUOCIG CITY CK CKP CMO CMR CNT COLOR COM7 COMANCPH CPR CRANE CSP CTW CWT DAII DCON DCORP DRACODSGT DTCI EARTH EASON EIC EKH EMC EPG ESSO F&DFANCY FMT FN FOCUS FORTH GENCO GJS GL GLAND GOLDGRAMMY GRAND GSTEL GTB GYT HARN HFT HPT HTECH HYDROIHL IRCP IT ITD ITEL JCT JSP JWD KAMART KCMKDH KIAT KKC KOOL KTIS KWC KWG LDC LEE LHLIT LOXLEY LPH LST MACO MAJOR MANRIN MATCH MATI MAXM-CHAI MCS MDX MODERN MPIC NC NEP NETBAY NEWNEWS NFC NOBLE NOK NPK NWR NYT OHTL OISHI ORIOTO PAE PAP PATO PERM PF PICO PJW PL PLEPMTA POLAR POMPUI POST PPM PRAKIT PRECHA PRIN PRO PSHPTL QTC RAM RCI RCL RICH RICHY RJH RPC RSS S11 SAFARI SALEE SAM SAMART SAMTEL SAPPE SAWAD SAWANGSCI SCP SEAFCO SELIC SF SFP SGF SHANG SIAM SIMSIMAT SIRI SLP SMART SMM SMT SOLAR SPA SPG SPORTSPVI SQ SSC SST STAR STEC STHAI STPI SUC SUTHASVH SVOA SWC T TACC TAPAC TC TCB TCC TCCCTCJ TCOAT TFD TGPRO TH THANA THE THIP THL TIWTK TKN TKS TM TMW TNDT TNH TNP TNPC TNRTOPP TPAC TPBI TPCH TPIPL TPOLY TPROP TR TRC TRITNTRUBB TSF TSR TTA TTI TTL TTTM TUCC TWP TWZTYCN UAC UEC UMI UMS UP UPA UPF UPOIC UTUTP UV UVAN VARO VI VIH VPO VTE WG WINNERWORK WORLD WP WR YCI YNP YUASA
Companies participating in Thailand's Private Sector Collective Action Coalition Against Corruption programme (Thai CAC) under Thai Institute of Directors (as of October 28, 2016)
PHILLIP SECURITIESS (THAILAND) | 6 | P a g e
Land and Houses COMPANY VISIT
The SEC has a policy to promote l isted companies and intermediaries, i .e. securities companies, asset management companies, derivative business companies
(“intermediaries”) to establish anti -corruption measures as part of their business operation. The SEC has supported Thaipat Insti tute in developing the Anti -corruption
Progress Indicator of li sted companies and intermediaries. The Indicator comprises five levels : Level 1: Committed, Level 2: Declared, Level 3: Established,
Level 4: Certi fied, and Level 5: Extended.
The SEC continues to develop business sustainabi li ty among listed companies and intermediaries with a focus on anti-corruption by supporting them to join Thailand’s
Private Sector Collective Action Coali tion Against Corruption (CAC) and to disclose their corporate governance progress on http://www.cgthai land.org.
Levels of Commitment
Companies participating in Thailand's Private Sector Collective Action Coalition Against Corruption programme (Thai CAC) under Thai Institute of Directors (as of October 28, 2016)
PHILLIP SECURITIESS (THAILAND) | 7 | P a g e
Land and Houses COMPANY VISIT
Industry Group Name Sector Name Sector IndexAgro & Food Industry[AGRO] Agribusiness AGRI
Food & Beverage FOODConsumer Products[CONSUMP] Fashion FASHION
Home & Office Products HOMEPersonal Products & Pharmaceuticals PERSON
Financials [FINCIAL] Banking BANKFinance & Securities FINInsurance INSUR
Industrials [INDUS] Automotive AUTOIndustrial Materials & Machinery IMMPackaging PKGPaper & Printing Materials PAPERPetrochemicals & Chemicals PETROSteel STEEL
Property & Construction[PROPCON] Construction Materials CONMATConstruction Services CONS Property Development PROPProperty Fund & REITs PF&REIT
Resources [RESOURC] Energy & Util ities ENERGMining MINE
Services [SERVICE] Commerce COMMMedia & Publishing MEDIAHealth Care Services HELTHTourism & Leisure TOURISMProfessional Services PROFTransportation & Logistics TRANS
Technology [TECH] Electronic Components ETRONInformation & Communication Technology ICT
PSR Rating SystemCapital Gain Recommendation> 15% BUY> 5% - 15% ACCUMULATE / TRADING BUY> 0% - 5% NEUTRAL0 <= SELL
RemarksWe do not base our recommendations entirely on the above quantitative return bands. We consider qual itative factors like (but not limited to) a stock's risk reward profi le, market sentiment, recent rate of share price appreciation, presence or absence of stock price catalysts, and speculative undertones surrounding the stock, before making our final recommendation
Contact Information of Hong Kong Representatives
Research
Benny WANG
Dealing Director
(852) 2277 6720
ZHANG Jing
Research Analyst
Transportation and Automobiles
(86) 21 51699400-103
Sales
FAN Guohe
Research Analyst
Pharmaceutical, Health Care, TMT
(86) 21 51699400-110
Aric AU Matthew WONG
Manager, Corporate & Institutional Sales Manager, International Sales
(852) 2277 6783 (852) 2277 6678
[email protected] [email protected]
Yoshikazu SHIKITA
Manager, International Sales
(Japan Team)
(852) 2277 6624
PHILLIP RESEARCH STOCK SELECTION SYSTEMS
Total Return Recommendation Rating Remarks
> +20% Buy 1 >20% upside from the current price
+5% to +20% Accumulate 2 +5% to +20% upside from the current price
-5% to +5% Neutral 3 Trade within +/- 5% from the current price
-5% to -20% Reduce 4 -5% to -20% downside from the current price
< -20% Sell 5 -20% downside from the current price
We do not base our recommendations entirely on the above quantitative return bands. We consider qualitative factors like (but not limited to) a stock’s risk reward profile, market sentiment, recent rate of share price appreciation, presence or absence of stock price catalysts, and speculative undertones surrounding the stock, before making our final recommendation
GENERAL DISCLAIMER
This publication is distributed in Hong Kong by Phillip Securities (Hong Kong) Limited (“PSHK”), which is licensed in Hong Kong by the Securities and Futures Commission for regulated activities, including Type 4 regulated activity (advising on securities). This publication was originally prepared by analysts from our overseas affiliates. The information contained herein is based on sources that PSHK and its affiliates believe to be accurate and any analysis, forecasts, projections, expectations and opinions contained in this publication are based on such information and are expressions of belief only. This material is prepared for general circulation to clients and is not intended to provide tailored investment advice and does not take into account the individual financial situation and objectives of any specific
person who may receive this report. Investors should seek financial advice regarding the appropriateness of any investments or securities discussed or recommended in this report. This report is not (and should not be construed as) a solicitation to act as securities broker or dealer in any jurisdiction by any person or company that is not legally permitted to carry on such business in that jurisdiction. This research report may not be redistributed, retransmitted or disclosed, in whole or in part or and any form or manner, without the express written consent of PSHK. Please direct any enquiries to [email protected].
Investment involves risks. For details of product risks, please view the Risk Disclosures Statement on http://www.phiIlip.com.hk.
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