Airports of Thailand

Airports of Thailand Plc (AOT)

Despite floods and macroeconomic woes, we believe traffic at AOT’s airports could overtake its most recent record high. Share price weakness means high-potential airport assets are now available at a bargain. The stock remains a firm OUTPERFORM. Nevertheless, our target price is trimmed (DCF-based, 9.2% WACC, 5% long-term traffic growth) as we temper our forecasts, factoring in some measure of impact from the floods and global economic fragility.