Advanced Info Service

Advanced Info Service  (ADVANC)
 

During a 2-day local NDR, AIS's CFO sounded optimistic about 3G licensing and the competitive environment. But complaints about its poorer service quality,
TRUE's very aggressive 3G/850MHz capex and additional regulatory issues for 1800MHz licensing are concerns. Lacking catalysts, AIS is a Neutral.
We think its share price has largely factored in 3G upside while its defensive strategy opens it to market share losses and rising capex from data competition
and the delay of 3G licensing. We keep our target price (DCF: WACC 9.2%, LTG 2%).