Big C Supercentre

Big C Supercenter Plc (BIGC)  
 

Tesco Thailand’s flood-hit 3QFY12 results signal weak SSSG for BIGC too, although the magnitude of decline should be less severe for BIGC. Growth catalysts are also limited as non-hypermarket ventures remain an uphill task. We maintain our Neutral rating on BIGC with an unchanged DCF-based target price, based on 8.5% WACC and 1% LTG. Note that the target has yet to take into account dilution from the planned capital increase. For exposure to food retailers, we prefer CPALL.