22
Monthly SET Strategy
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Strategy team # 487 PhillipResearch PhillipCapitalTH
02 635 1700 # 486
Thai Stock Market Outlook for July 2019
The higher the rise,
the greater the risk
The information contained herein is based on sources which Phillip Securities (Thailand) believes reliable. We do not guarantee its accuracy or completeness. Opinions and estimates expressed herein are subject to change without notice. This report is for information only and should not be construed as an offer or solicitation for the purchase or sale of any securities referred to herein. We accept no liability for any loss, direct or indirect, from the use of this document. The directors and/or employees of Phillip Securities and or its associates may have an interest in the securities mentioned in the securities mentioned herein.
Strategy Team July 2, 2019
2 July 2019
Monthly SET Strategy Thai Stock Market Outlook for July 2019
Foreign capital flows a key variable: Continuity of foreign fund inflows this month would depend on a Fed interest rate decision amid the effects of the trade war.
Domestic factors set to aid SETI: As for internal factors, we give weight to two main issues: (i) having in place the new government which would lead to a new round of economic stimulus and (ii) speculation in banks’ 2QFY19 earnings.
SET outlook: Although the markets predicted possible Fed rate cuts at this month’s end, much of the optimism has been priced in. Historical data showed each cycle of foreign capital inflows contributed to an average rise of 4.16% in the SET, so there might be little room left for the upside and subsequently the ‘buy the rumor, sell the fact’ effect. As for domestic catalysts, hopes for fresh economic stimulus may be spoiled by the media share-holding cases against the government MPs, coupled with the government’s razor-thin majority in the House. Meanwhile, banks’ 2Q loan growth is expected to be stronger but profits may not increase due to rising expenses and extra-items in the prior quarter. Overall, we foresee the SET to trade in a range between 1680 and 1760 points.
Strategy & investment theme: Focus on the ‘sell into strength, buy into weakness’ strategy.
Strategy team # 487
2 July 2019
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PhillipResearch PhillipCapitalTH
02 635 1700 # 486 PhillipResearch
Trading Range
1680-1760
Key issues to watch
NER, SINGER, SCB, (Short) THAI
Stock picks for July 2019
▪ Domestic politics: Follow up on PM Prayut’s new cabinet and media cases against government MPs ▪ Central bank meetings: ECB on Jul 25 and US FOMC on Jul 30-31 ▪ Key economic data: US CPI on Jul 11; China’s GDP on Jul 15; and EU GDP on Jul 30
Stock Return (%)*
CPALL 4.56%
DTAC 6.53%
MAJOR -1.68%
SAWAD Not matched
STEC 3.85%
Average 3.31%
SET 4.97%
* Buy ATO at 5 June, Exit ATC at 28 June
Support from foreign fund inflows 2 July 2019
June sees significant foreign capital inflows
Source: Setsmart
Strategy team # 487
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Foreign funds VS SET increases 2 July 2019
Source: Setsmart
Year Month Net foreign buying
(mn)
(%) changes in SET index
Monthly End of foreign buying
2013 Sep 9,606.02 6.45% 11.05% (Sep - Oct)
Oct 1,167.65 3.85%
2014 Mar 14,253.84 3.42% 6.33% (Mar - Apr)
Apr 15,872.40 2.68%
Jul 13,765.66 0.68%
6.27% (Jul - Sep) Aug 2,398.48 4.93%
Sep 21,116.58 1.14%
2015 Mar 2,741.58 -5.18%
-5.80% (Mar - May) Apr 129.69 1.42%
May 3,147.25 -2.22%
2016 May 4,734.57 1.51%
5.71% (May - Sep)
Jun 18,396.21 1.50%
Jul 44,369.10 4.90%
Aug 34,373.24 1.11%
Sep 17,226.88 -4.25%
2017 Mar 3,604.31 0.81%
-0.05% (Mar - May) Apr 1,806.37 -0.76%
May 5,522.39 -0.29%
2019 Apr 3,377.37 1.69%
5.60% (Apr - Jun) May 3,671.86 -3.36%
Jun 46,685.87 6.80%
average per cycle 4.16%
Strategy team # 487
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Fed rate cut?
02 635 1700 ตอ่ 486
2 July 2019
Source: Thomsonreuters.com
FOMC members
US FOMC meeting on July 30-31 in spotlight
Strategy team # 487
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PhillipResearch PhillipCapitalTH
02 635 1700 # 486 PhillipResearch
Fed rate cut? +
2 July 2019
Source: Bloomberg
The probability that the Fed would hike interest rates from the current target range of
2.25% to 2.50%.
Strategy team # 487
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PhillipResearch PhillipCapitalTH
02 635 1700 # 486 PhillipResearch
Monthly Pick
NorthEast Rubber
2. Relocation of production by Chinese tyre makers to Thailand reduces effects of trade war and strong baht due to baht-denominated sales.
1. 2QFY19 profit expected to grow y-y and q-q on higher sales volume and prospect of higher rubber price in 2H
3. Profits likely to continue to grow on capacity expansion, cheap stock price and a dividend yield of 5-6%
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Naree Apisawaittakan
Securities Investment Analyst #17971
Buy ATO
Take ATO+10%
Cut ATO-3%
TP’19: 3.48
Buy
NER
2 July 2019
Monthly Pick
Siam Commercial Bank
2. 2QFY19 projected to rise q-q To Bt10.6bn helped by a drop in employee expenses after enforcement of new labor law
1. May loan growth up 1.6% m-m, the best performer in group, taking YTD loans higher to 1.2% from end-FY18
3. OSCB is set to recognize huge profit from the sales of SCBLIF’s shares once the transaction is complete.
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Adisorn Muangparnchon
Securities Investment Analyst #18577
Buy ATO
Take ATO+10%
Cut ATO-5%
TP’19:148.00
SCB
2 July 2019
Accumulate
Monthly Pick
Singer Thailand
2. FY19 profit forecast to come in at Bt200mn, reversing from the y-y loss of Bt81mn, driven by higher revenue, lower provisions and tight cost controls.
1. 2QFY19 profit seen to grow marginally y-y and q-q, the five consecutive quarter of profit rises. 3Q and 4Q expected to be better.
3. Revenue and profit projected to grow at a faster pace in FY20 thanks to its readiness. Notable growth in C4Cs is a key growth driver.
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Sasikorn Charoensuwan, CFA, CAIA
Capital Market Investment Analyst #9744
TP’19: 8.20 2 July 2019
SINGER
Buy ATO
Take ATO+15%
Cut ATO-10%
Trading Buy
Monthly Pick
2. Passenger yield/km expected to drop due to the baht’s appreciation while sales promotions add to the pressure on revenue.
1. 2QFY19 forecast to deliver a y-y loss after passenger traffic fell 7.9% and cargo shipments dropped dipped 18.1% in 2M2QFY19.
3. Unfavorable outlook may continue into 3Q, putting pressure on equities and FY19 profit estimates
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TP’19: 8.20 2 July 2019
Thai Airways International
THAI
Short
Sell ATO
Take ATO-9%
Cut ATO+5%
Siam Tiyanont
Securities Investment Analyst #17970
Sector Update
Sector Investment weighting Analyst view
JUL Change
FOOD NT --- Although profits returned to notable growth due to the recovering prices of local meat, an epidemic and the high sales season, the baht’s appreciation may put a lid on the sector’s operating results.
BANK NT q Loan growth in 2QFY19 starts to accelerate and is likely to be stronger than the prior quarter. Profits are expected, however, to drop both y-y and q-q.
AUTO NT q We project overall car production in 2QFY19 to be better than the previous year but at a slow pace due to pressure from production target for export amid the global economic slowdown.
PETRO NT --- The lingering US-China trade war continues to keep the lid on the recovery of buying power and petrochemical product spreads.
CONMAT NT q
Demand for cement grew 2% y-y in 1QFY19 but was slow in 2Q as housing market was sluggish and new government projects are still in the pipeline. We advise to wait for a good momentum in 2HFY19 and we maintain the full-year growth projection of 3-4% for the time being.
CONS NT q
Stock prices rose on the optimism from the installment of a new government as the CP Group-led consortium is expected to sign a contract for the three-airport rail link project in Jul and the winner in the bidding for the third phase of Map Ta Phut port should be announced this month. Other EEC projects namely the U-tapao aviation city and the third phase of Laem Chabang port need to await the new government and it seems that their progress will not be made until 4QFY19, so there should be few catalysts for the sector in the near term
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2 July 2019
Sector Update
Sector Investment weighting Analyst view
JUL Change
PROP UW q
The new LTV limits have come into effect and 2QFY19 presales are likely to be in the doldrums due to long holidays in Apr. Most new projects are slated to be launched in 2HFY19 but the customer response for newly launched condos has not been quite impressive. 2QFY19 profits are unlikely to be notable and there is a possibility that market analysts would downgrade their profit estimates.
ENERG (oil/refinery)
NT --- Although product spreads notably finished oil products have not recovered due to high supply, the worst has been behind us. In 2HFY19, the sector should receive a boost from the IMO 2020 Rule which takes now and Jan1, 2020.
TRANS NT --- The number of tourist arrivals to Thailand remains low due to a limited recovery while the shipping business improved q-q on better BDI but fell y-y. The land transport has nothing exciting at the moment.
COMM NT ---
Sales are likely to begin to slow, tracking a slowdown in consumption during the rainy season. However, commerce stocks are potential beneficiaries of the economic stimulus measures after the new government is in place.
HELTH NT --- The healthcare services space is riding the wave of high season, more rainfalls and a return of Middle East patients after the end of Ramadan.
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PhillipResearch PhillipCapitalTH
02 635 1700 # 486
2 July 2019
Sector Update
Sector Investment weighting Analyst view
JUL Change
MEDIA NT --- Ad spending in 2M2QFY19 contracted 1.9% y-y and no media firms showed notable growth. On this basis, the sector's outlook does not look promising.
TOURISM NT --- The number of foreign visitors is still low as a result of a decline in key tourist groups such as the Chinese and Russian. We believe the number of tourist arrivals will gradually improve in 2HFY169.
ICT NT ---
Fierce competition and fixed speed unlimited plan are expected to continue to put downward pressure on the three mobile operators’ operating performance. Although all the three operators submitted documents to buy the 700MHz spectrum, there will be no negative impact on their profits this year as the licenses are likely to be issued in Oct 200.
ETRON UW ---
We maintain our ‘UNDERWEIGHT’ position on the electronic components space due to sustained weakness in its profits, the adverse effects of global economic slowdown driven the ongoing trade war, and the baht’s strength, which has been a drag on the sector's improvement.
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2 July 2019
Economic Calendar
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PhillipResearch PhillipCapitalTH
02 635 1700 # 486
2 July 2019
1-Jul 2-Jul 3-Jul 4-Jul 5-Jul 6-Jul 7-Jul US: Markit Manufacturing PMI,ISM Manufacturing
US: ADP Employment,Markit PMI,Markit Service PMI,ISM non-manufacturing
US: Nonfarm Payrolls,Unemployment
EU: Markit Manufacturing PMI,Unemployment
EU: Markit PMI,Markit Service PMI
TH: CPI JP: Services PMI
JP: Consumer Confidence Index,Markit Japan Manufacturing PMI
8-Jul 9-Jul 10-Jul 11-Jul 12-Jul 13-Jul 14-Jul CN: PPI,CPI
US: CPI US: PPI,Core PPI
EU: Industrial Production
CN: Export,Import
Economic Calendar
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PhillipResearch PhillipCapitalTH
02 635 1700 # 486
2 July 2019
15-Jul 16-Jul 17-Jul 18-Jul 19-Jul 20-Jul 21-Jul CN: GDP,Retail Sales
EU: CPI JP: Export,Import
22-Jul 23-Jul 24-Jul 25-Jul 26-Jul 27-Jul 28-Jul TH: Export,Import
US: Existing Homes Sales
EU: ECB
29-Jul 30-Jul 31-Jul JP: BOJ EU: GDP
US: FOMC US: FOMC
Corporate Governance - 2018
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02 635 1700 #486
ADVANC AKP AMATA AMATAV ANAN AOT AP BAFS BANPU BAY 7UP ABICO ABM AEC AEONTS AF AJ ALUCON AMARIN AMC
BCP BCPG BRR BTS BWG CFRESH CHO CK CKP CM AS ASAP ASEFA ASIAN BCH BEAUTY BGT BH BIG BLAND
CNT COL CPF CPI CPN CSL CSS DELTA DEMCO DRT BM BR BROCK BSBM BTNC CCET CCP CGD CHARAN CHAYO
DTAC DTC EA EASTW EGCO GC GEL GFPT GGC GOLD CITY CMO CMR COLOR CPL CPT CRD CSR CTW CWT
GPSC GRAMMY GUNKUL HANA HMPRO ICC ICHI INTUCH IRPC IVL D DCON DIGI DIMET EKH EMC EPCO ESSO ESTAR EE
JSP KBANK KCE KKP KSL KTB KTC LHFG LIT LPN FLOYD FOCUS FSS FTE GENCO GIFT GJS GLAND GPI GREEN
MAKRO MBK MCOT MINT MONO MTC NCL NKI NVD NYT GTB GYT HTECH IFS IHL III INOX INSURE IRCP IT
OISHI OTO PCSGH PDJ PG PHOL PLANB PLANET PPS PRG ITEL J JCK JMART JMT JTS JUBILE KASET KCM KIAT
PSH PSL PTG PTT PTTEP PTTGC PYLON Q-CON QH QTC KWC KWG KYE LALIN LEE LPH MATCH MATI MBAX M-CHAI
RATCH ROBINS S & J SABINA SAMART SAMTEL SAT SC SCB SCC MDX META MILL MJD MM MODERN MPG NC NDR NETBAY
SCCC SDC SE-ED SIS SITHAI SNC SPALI SPRC SSSC STEC NNCL NPK OCEAN PAF PDG PF PICO PIMO PK PL
SVI SYNTEC TASCO TCAP THAI THANA THANI THCOM THIP THREL PLE PMTA PPPM PRIN PSTC PTL RCI RCL RJH ROJNA
TIP TISCO TKT TMB TNDT TOP TRC TRU TRUE TSC RPC RPH SAMCO SAPPE SCP SF SGF SGP SKN SKR
TSTH TTCL TU TVD UAC UV VGI VIH WACOAL WAVE SKY SLP SMIT SOLAR SPA SPCG SPG SQ SRICHA SSC
WHA WINNER SSP STANLY STPI SUN SUPER SVOA T TCCC TCMC THE
THG THMUI TIC TITLE TIW TMD TOPP TPCH TPIPP TPOLY
TTI TVT TYCN UEC UMS UNIQ VCOM VBIHA VPO WIN
2S AAV ACAP AGE AH AHC AIRA AIT AKR ALLA WORK WP WPH ZIGA
ALT AMA AMANAH APCO AQUA ARIP ARROW ASIA ASIMAR ASK
ASN ASP ATP30 AU AUCT AYUD BA BBL BDMS BEC
BEM BFIT BGRIM BIZ BJC BJCHI BLA BOL BPP BROOK Score Range
BTW CBG CEN CENTEL CGH CHEWA CHG CHOW CI CIMBT < 50%
CNS COM7 COMAN CPALL CSC CSP DCC DCORP DDD EASON 50-59%
ECF ECL EE EPG ERW ETE FN FNS FORTH FPI 60-69%
FSMART FVC GBX GCAP GLOBAL GLOW GULF HARN HPT HTC 70-79%
HYDRO ICN ILINK INET IRC ITD JAS JCKH JKN JWD 80-89%
K KBS KCAR KGI KKC KOOL KTIS L&E LANNA LDC 90-100%
LH LHK LOXLEY LRH LST M MACO MAJOR MALEE MBKET
MC MEGA METCO MFC MFEC MK MOONG MSC MTI NCH
NEP NINE NOBLE NOK NSI NTV NWR OCC OGC ORI
PAP PATO PB PDI PJW PLAT PM PORT PPP PREB
PRECHA PRINC PRM PT QLT RICHY RML RS RWI S
S11 SALEE SANKO SAWAD SCGS SCI SCN SE SEAFCO SEAOIL
SELIC SENA SFP SIAM SINGER SIRI SKE SMK SMPC SMT
SNP SORKON SPC SPI SPPT SPVI SR SSF SST STA
SUC SUSCO SUTHA SWC SYMC SYNEX TACC TAE TAKUNI TBSP
TCC TEAM TFG TFMAMA THRE TICON TIPCO TK TKN TKS
TM TMC TMI TMILL TMT TNITY TNL TNP TNR TOA
TOG TPA TPAC TPBI TPCORP TRITN TRT TSE TSR TSTE
TTA TTW TVI TVO TWP TWPC U UMI UOBKH UP
UPF UPOIC UT UWC VNT WHAUP WICE WIIK XO YUASA
ZMICO
Results Presentation
Number of Logo
No logo given
The disclosure 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 listed on the Stock Exchange of Thailand and the
Market for Alternative disclosure to the public 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 result 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. Phillip Securities (Thailand) of securities company does not
confirm nor certify the accuracy of such survey result.
Thai CAC (As of May 21, 2018)
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02 635 1700 #486
Declared Non-participation Non-participation
A AI AIE AIRA AJ 2S AAV ABICO ACAP ACC TPIPL TPIPP TPOLY TPP TR
ALUCON AMATAV AOT APCO AQUA ADAM AEC AEONTS AF AFC TRC TRITN TRT TRUBB TSF
ARROW ASIA ASK AU BCH AGE AH AHC AIT AJA TSI TSR TSTE TTA TTL
BJC BJCHI BLAND BR BROCK AKR ALLA ALT AMA AMARIN TTTM TTW TUCC TWP TWZ
BRR CEN CGH CHEWA CHG AMATA AMC ANAN APCS APEX TYCN UAC UBIS UEC UKEM
CHOTI CHOW CIG COL COM7 APURE AQ ARIP AS ASAP UMI UMS UNIQ UP UPF
CPALL CPF CPR CSC EKH ASEFA ASIAN ASIMAR ASN ATP30 UPOIC UT UTP UV UVAN
EPCO FC FER FPI FSMART AUCT BA BAT-3K BCPG BDMS VARO VI VNG VPO VTE
GEL GFPT GGC GIFT GJS BEAUTY BEC BEM BFIT BGRIM WG WHAUP WIN WINNER WORK
GLOBAL GOLD GPSC GREEN GSTEL BGT BH BIG BIZ BKD WORLD WP WPH WR XO
GUNKUL HARN IFS ILINK INET BLISS BM BOL BPP BSBM YCI YNP YUASA ZIGA ZMICO
IRC J JMART JMT JUBILE BSM BTC BTNC BTW BUI
JUTHA KASET KBS KCAR KTECH CBG CCET CCP CGD CHARAN
KWC KYE L&E LEE LIT CHO CHUO CI CITY CK
LVT MAKRO MATCH MATI MBAX CKP CMO CMR CNT COLOR
MC MFEC MIDA MILL ML COMAN CPH CPL CRANE CRD
MTLS NBC NCL NEP NINE CSP CSR CSS CTW CWT
NMG NNCL NTV NUSA NWR D DCON DCORP DELTA DIGI
OGC PACE PAF PAP PATO DNA DTCI EA EARTH EASON
PCSGH PIMO PK PL PLANB ECF EE EFORL EIC EMC
POST PRINC PRO PSTC PYLON EPG ERW ESSO ESTAR ETE
QTC ROH ROJNA RWI SANKO EVER F&D FANCY FMT FN
SAUCE SC SCCC SCN SEAOIL FOCUS FORTH FTE FVC GC
SE-ED SENA SIRI SMART SPACK GENCO GL GLAND GRAMMY GRAND
SPPT SPRC SR SRICHA SST GTB GYT HFT HOTPOT HPT
STA SUPER SUSCO SWC SYMC HTECH HYDRO ICHI ICN IEC
TAKUNI TBSP TFI THE TICON IHL III INGRS INOX INSURE
TIP TKN TLUXE TMILL TMT IRCP IT ITD ITEL JAS
TNP TPA TRUE TSE TTI JCT JSP JTS JWD KAMART
TU TVD TVO TVT TWPC KC KCM KDH KIAT KKC
U UPA UREKA UWC VGI KOOL KTIS KWG LALIN LDC
VIBHA VIH VNT WAVE WHA LH LOXLEY LPH LRH LST
WICE WIIK LTX M MACO MAJOR MALEE
MANRIN MAX M-CHAI MCS MDX
Certified MEGA METCO MGT MJD MK
ADVANC AKP AMANAH AP ASP MM MODERN MPG MPIC NC
AYUD BAFS BANPU BAY BBL NCH NDR NETBAY NEW NEWS
BCP BKI BLA BROOK BTS NFC NOBLE NOK NPK NPP
BWG CENTEL CFRESH CIMBT CM NVD NYT OHTL OISHI ORI
CNS CPI CPN CSL DCC OTO PAE PDG PERM PF
DEMCO DIMET DRT DTAC DTC PICO PJW PLANET PLE PMTA
EASTW ECL EGCO FE FNS POLAR POMPUI PPM PRAKIT PRECHA
FSS GBX GCAP GLOW HANA PRIN PRM PTL RAM RCI
HMPRO HTC ICC IFEC INTUCH RCL RICH RICHY RJH ROCK
IRPC IVL K KBANK KCE RP RPC RPH RS S
KGI KKP KSL KTB KTC S11 SAFARI SALEE SAM SAMART
LANNA LHBANK LHK LPN MBK SAMCO SAMTEL SAPPE SAWAD SAWANG
MBKET MCOT MFC MINT MONO SCI SCP SDC SE SEAFCO
MOONG MSC MTI NKI NSI
OCC OCEAN PB PDI PE SELIC SF SFP SGF SHANG
PG PHOL PLAT PM PPP SIAM SIMAT SKN SKR SKY
PPS PRANDA PREB PRG PSH SLP SMK SMM SMT SOLAR
PSL PT PTG PTT PTTEP SPA SPALI SPCG SPG SPORT
PTTGC Q-CON QH QLT RATCH SPVI SQ SSC SSP STANLY
RML ROBINS S & J SABINA SAT STAR STEC STHAI STPI SUC
SCB SCC SCG SGP SINGER SUTHA SVH SVOA SYNEX T
SIS SITHAI SMIT SMPC SNC TACC TAPAC TASCO TC TCB
SNP SORKON SPC SPI SSF TCC TCCC TCJ TCOAT TEAM
SSI SSSC SVI SYNTEC TAE TFD TFMAMA TGPRO TH THAI
TCAP TCMC TFG TGCI THANI THANA THIP THL TIC TIW
THCOM THRE THREL TIPCO TISCO TK TKS TM TMC TMI
TKT TMB TMD TNITY TNL TMW TNDT TNH TNPC TNR
TOG TOP TPCORP TRU TSC TOA TOPP TPAC TPBI TPCH
TSTH TTCL TVI UOBKH WACOAL
Companies participating in Thailand's Private Sector Collective Action Coalition Against
Corruption programme (Thai CAC) under Thai Institute of Directors (as of May 21, 2018)
Industry Group
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02 635 1700 #486
Name Sector Name Sector Index
Agro & Food Industry[AGRO] Agribus iness AGRI
Food & Beverage FOOD
Consumer Products[CONSUMP] Fashion FASHION
Home & Office Products HOME
Personal Products & Pharmaceutica ls PERSON
Financia ls [FINCIAL] Banking BANK
Finance & Securi ties FIN
Insurance INSUR
Industria ls [INDUS] Automotive AUTO
Industria l Materia ls & Machinery IMM
Packaging PKG
Paper & Printing Materia ls PAPER
Petrochemicals & Chemicals PETRO
Steel STEEL
Property & Construction[PROPCON] Construction Materia ls CONMAT
Construction Services CONS
Property Development PROP
Property Fund & REITs PF&REIT
Resources [RESOURC] Energy & Uti l i ties ENERG
Mining MINE
Services [SERVICE] Commerce COMM
Media & Publ ishing MEDIA
Health Care Services HELTH
Tourism & Leisure TOURISM
Profess ional Services PROF
Transportation & Logis tics TRANS
Technology [TECH] Electronic Components ETRON
Information & Communication Technology ICT
PSR Rating SystemCapital Gain Recommendation
> 15% BUY
> 5% - 15% ACCUMULATE / TRADING BUY
> 0% - 5% NEUTRAL
0 <= SELL
Remarks
We do not base our recommendations entirely on the above quanti tative return bands . We cons ider qual i tative factors l ike (but
not l imited to) a s tock's ri sk reward profi le, market sentiment, recent rate of share price appreciation, presence or absence of
s tock price catalysts , and speculative undertones surrounding the s tock, before making our fina l 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
Terry LI
Research Analyst
TMT, Education and Finance
(852) 2277 6527
Sales
Eurus ZHOU
Research Analyst
Pharmaceutical and Consumer
(852) 2277 6515
Tracy KU
Research Analyst
Retail and Property
(852) 2277 6516
Aric AU Yoshikazu SHIKITA
Manager, Corporate & Institutional Sales Manager, International Sales
(852) 2277 6783 (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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