Banking, energy sectors' earnings outlook strong
Play
After moving to 1,150 points, we foresee the SET Index pushing on to 1,180-1,200 points in April, as we still expect good earnings in major sectors including banking and energy.
The Stock Exchange of Thailand this year will be driven by domestic private consumption and investment through the government policy to raise the daily wage to Bt300. Many manufacturers are investing in new machinery after the floods. We believe the Thai gross domestic product in the first quarter of 2012 will show double-digit growth.
We recommend people buy in the banking sector first, such as Kasikornbank (KBANK), Siam City Bank (SCB) and Thanachart Capital (TCAP). We also recommend accumulating undervalued stock such as PTT Exploration and Production (PTTEP) and InTouch (INTUCH). However, we also appreciate growth stock like JAS and Sansiri (SIRI).
We are concerned in the short term about first-quarter GDP growth in China, which will be announced on April 13. This week, our top picks include SYNTEC, SIRI, AMATA and INTUCH.
