STOCKS NEWS THAILAND-KCE Electronics near 9-year high on earnings hope
Shares in KCE Electronics Pcl rose to their highest level since March 2004 amid expectations the electronic component manufacturer would report strong earnings for the fourth quarter of 2012 and a record high earnings for 2013.
KCE shares were up 1.8 percent at 11.2 baht, having hit 11.3 baht, versus a 0.6 percent gain of the electronic components subindex. About 15.4 million shares changed hands, 2.6 times the average full-day volume in the last 30 days.
Maybank Kim Eng Securities forecast the company to report a rise in normalised profit for the fourth quarter to 100-120 million baht ($3.29-$3.94 million). It expects KCE's 2013 net profit to reach a record high of 604 million baht.
"We have a positive view on KCE 2013 forecast earnings after the 97 percent acquisition of Chemtronic Technology in the third quarter of 2012 that strengthens KCE business, reduces long-term costs and will drive the gross margin upward," it said.
The broker said KCE was its electronic top pick, with a fair value target of 12.9 baht. 1051 (0351 GMT) (Reporting by Viparat Jantraprap in Bangkok; Editing by Anand Basu)