Kasikornbank
Staying cool, calm and collected OUTPERFORM - Maintained Share price: Bt153.50 Target price: Bt161.00
Kasikornbank Plc (KBANK)
“Kasikornbank need not, and will not, raise new equity,” reiterated management. Seeing no pressing need for the bank to do so, we are also relaxed about this issue. After all, giving more money to a bank for an 18% ROE does not sound like a worrying proposition at all. The upcoming 1Q12 results should bring confirmation of the bank’s quick bounce-back from the flood crisis. We maintain our Outperform call and target price, set at 2.2x FY12 P/BV (GGM with long-term assumptions of 16% ROE, 11.7% COE, 8% growth).
