HoonSmart.com >> Minor International (MINT) shares continue to receive great interest from investors. But the stock price has been fluctuating recently, executives met with analysts on Nov. 17. Resulting in a parade to raise the target price KGI Securities (Thailand) offers the highest target price of 32 baht / share followed by Maybank Securities. Kim Eng (Thailand) gives a price of 30 baht, while the price has been lowered as well. Krungsri Securities downgraded its recommendation to “Sell” as the share price that rose in the latter part was too expensive. And reduced the target price by 2% to 20.60 baht, but still better than TISCO Securities, which offers the lowest price at only 15 baht
DBS Vickers Securities (Thailand) revised the recommendation to “Buy” and gave a target price of THB 28 / share from the previous time to “Hold” at the target price of THB 21 after seeing the performance. Quarter 3/2020 has recovered strongly compared to the second quarter and gradually recovered. As the company tries to implement an effective cost control strategy on the balance sheet, it is expected that it will be able to manage it smoothly. And considered the financial position in good condition
On the other hand, KGI Securities (Thailand) continues to recommend “Buy” with a target price of up to 32 baht. This is because it is unlikely to have a significant impact on long-term recovery. In the meantime News of progress in vaccine development should shift investors’ focus on long-term equity.
“It has lowered its 2020/2021 earnings forecast by 42% / 88% to reflect a lower-than-expected margin. And the hotel business will start to break even at EBITDA in 1Q2021 from the earlier expected in 4Q20, although the hotel business has already reached break even EBITDA in September. But the short-term growth momentum of RevPar will be stalled by a second wave of COVID-19 outbreaks in Europe, weakening RevPar to -77% in October from -72% in July. Sep. Compared with the same period last year The restaurant business has reached a break even point at the net profit level in the third quarter and is likely to continue to recover, ”KGI Securities stated.
The company has a long-term strategy to minimize its cash payments. And preserves liquidity The company has cut its three-year investment plan (2020-2022) by approximately 40%, going forward only for the investment budget that has a fixed schedule. With the cash on hand of 30,000 million baht, coupled with a further Bt25bn loan, management remains confident that the company has more than enough liquidity for the next 12 months.
Finansia Syrus Securities increased the MINT target price to 29 baht (Beta adjusted down from the development of vaccine), assessing the trend of operating performance to gradually recover in both the hotel business that gradually decreased. While the food business expects to see a higher net profit, Cash Burning will continue to decline from the third quarter, which is 1,500 million baht per month, and the current funding is sufficient for another year while waiting for the vaccine to be completed and distributed worldwide.
However, Krungsri Securities downgraded its recommendation to “Sell” due to the strong rising share price in the latter. Making it more expensive than basic And lowered the target price by 2% to 20.60 baht
“We revised our 2020 forecast to a net loss of Bt21bn, 2021 to a net loss of Bt7.3bn and in 2022 to Bt2.4bn in net profit. Weak during the second round of lockdown measures, ”Krungsri Securities said.
KTB Securities (Thailand) maintains a target price of Bt28 despite having a positive view on the analyst meeting. Better fourth quarter expected and 2020 projections remain. It was a net loss of 1.8 billion baht.
The share price is up 20% over the past 1 month. Than the group (ERW + 16%, CENTEL + 9%) in the hope of a vaccine developed and will be used earlier than expected, with MINT getting the most benefit. Because the vaccine was first introduced in the US and Europe, MINT now accounts for up to 60% of hotels in Europe.
Trinity Securities recommends “Hold” to a new target price of 24.05 baht from the original price of only 17.50 baht. But Europe is still volatile, the fourth quarter will lose a little.
Yuanta Securities (Thailand) gave a new target price of 29.70 baht from the original valuation of 27.60 baht, adjusted the forecast for 2020-2022 to a normal loss of 1.9 billion baht, normal profit of 1.3 billion baht and 4 billion baht, respectively.
Earlier, Mr. Chaipat Paitoon, Chief Strategic Development Officer of Minor International, said at the Opportunity Day event that the fourth quarter performance will continue to improve from the third quarter, especially in the food business that is resuming. 90% while the hotel business starts to recover But keep an eye out for the second wave of COVID-19 outbreaks among Europe.
The trend in 2021 will expand well from this year. And the company aims to strictly control costs and reduce investments To reduce cash flow and maintain liquidity as much as possible. Currently, the company has been able to reduce expenses by 40% of the budget. Which is higher than the previous target, which is expected to reduce 30% and reduce investment budget this year from 17,000-18,000 million baht to only 10,000 million baht and aims to reduce in 2021-2022 to 4,000-5,000 million baht per year only.
Currently, the company has a cash flow of approximately 30 billion baht and will focus on investing in the areas that are most needed. The company also delayed its acquisition (M&A), while preparing to sell assets in Europe about 1-3.5 billion baht from a total of 100 billion baht to cope with the uncertainty in 2021.