Reuters logo
STOCKS NEWS THAILAND-CIMB raises Tisco price target after Q4
January 14, 2013 / 2:51 AM / 5 years ago

STOCKS NEWS THAILAND-CIMB raises Tisco price target after Q4

CIMB Research raised its price target for Tisco Financial Group Pcl to 57 baht from 55 baht after the financial firm reported a better-than-expected fourth quarter net profit. It maintained a ‘neutral’ rating.

On Friday, Tisco shares closed down 0.5 percent at 54.25 baht before it announced the quarterly earnings. It was up 4.3 percent since the start of the year versus a 0.3 percent gain of the broader banking subindex.

Tisco reported a quarterly net profit of 995 million baht ($32.86 million), up 47 percent year-on-year and up 4 percent quarter on quarter. The result was 4 percent higher than the broker estimate because of a strong fee income.

“The quarter was fairly representative of the full year which saw explosive loan growth but net interest margin (NIM) stress. From mid-13, the reverse could be the case as new loans will be scarcer but NIM should improve,” it said in a report.

“Despite the near-term attractive earnings outlook and tempting valuations, we keep the stock at neutral as its longer-term return on equity (ROE) sustainability is in doubt,” it said.

0933 (0233 GMT)

For the company statement, click

(Reporting by Viparat Jantraprap in Bangkok; Editing by G.Ram Mohan)

$1 = 30.28 baht

Our Standards:The Thomson Reuters Trust Principles.
0 : 0
  • narrow-browser-and-phone
  • medium-browser-and-portrait-tablet
  • landscape-tablet
  • medium-wide-browser
  • wide-browser-and-larger
  • medium-browser-and-landscape-tablet
  • medium-wide-browser-and-larger
  • above-phone
  • portrait-tablet-and-above
  • above-portrait-tablet
  • landscape-tablet-and-above
  • landscape-tablet-and-medium-wide-browser
  • portrait-tablet-and-below
  • landscape-tablet-and-below