Post by account_disabled on Dec 30, 2023 3:39:47 GMT -5
Credit Suisse sees Thai stocks as tired next year. Profit growth ranks second in Asia Credit Suisse views Thai stocks next year as another tiring year. Because the main factor is weak domestic factors in Thailand, the SET Index target is set at the end of 2020 at 1,575 points. shutterstock-1591264753-bkk Image from Shutterstock Credit Suisse, a major financial institution An analysis was issued. Perspective on Thai stocks in 2020, thinking that the Thai stock market next year will be another tiring year. This is because the profits of listed companies are weak for another year. And when compared to countries in Asia, Thailand is considered to be in second place, better than only Singapore. In addition, domestic factors are still considered weak, with the SET Index target for next year only 1,575 points. Investment perspective in 2020 from SCB, hoping for foreign money to buy Thai stocks. Keep an eye on Hong Kong stocks whose valuations are still cheap. Goldman Sachs sees Thai stocks as profits not growing right now. Little liquidity In addition, the baht is seen to continue to strengthen. An important factor that Credit Suisse looks at is domestic factors. From the point of view of this financial institution from Switzerland, it is unlikely that there will be a heavy economic stimulus policy due to consideration of public debt.
In the past 5 years, Thailand's public debt has decreased. It is expected that this year the government budget will have a deficit of only about 2.5% of GDP. In terms of monetary policy, Credit Suisse views that the Bank of Thailand is unlikely to cut interest rates further. Because financial stability is viewed as the most important thing The matter of household debt in Thailand is now considered to be Telegram Number Data continually increasing. Most recently, household debt to GDP is approximately 79%, especially debt from credit cards and cash loans. That has increased a lot in the past 2 years. Credit Suisse does not know whether the Bank of Thailand is thinking of any measures to solve the problem of increasing debt or not. Because it affects domestic consumption. As for Thailand, which is expected to be a country that benefits from the trade war, Credit Suisse has revealed that investment capital or FDI in Thailand has not grown at all. At the same time, Thailand's electronics industry, which is part of its exports, is losing its share of exports to other countries. in Asia is increasing more and more.
Meanwhile, the Thai tourism industry is expected to be based on the current structure of Thailand. It may cause Thailand to lose tourists to ASEAN countries such as Vietnam, Philippines, Indonesia, and Cambodia due to major reasons. It is the issue of the value of the baht that makes tourists feel that traveling to Thailand is more expensive. Including the issue of Thai infrastructure. Moreover, the current valuation of Thai stocks is considered expensive. The value of the Thai baht is slowly appreciating. Including the profit forecast for next year. Thai listed companies are still considered to have another weak year, causing Credit Suisse to view that next year for Thai stocks will be another difficult year. For Thai stocks next year, Credit Suisse mainly likes telecommunications and petrochemical stocks. and reduce investment weight in medical stocks (but likes small hospitals) and all infrastructure-related stocks Due to looking at project approval in the past
In the past 5 years, Thailand's public debt has decreased. It is expected that this year the government budget will have a deficit of only about 2.5% of GDP. In terms of monetary policy, Credit Suisse views that the Bank of Thailand is unlikely to cut interest rates further. Because financial stability is viewed as the most important thing The matter of household debt in Thailand is now considered to be Telegram Number Data continually increasing. Most recently, household debt to GDP is approximately 79%, especially debt from credit cards and cash loans. That has increased a lot in the past 2 years. Credit Suisse does not know whether the Bank of Thailand is thinking of any measures to solve the problem of increasing debt or not. Because it affects domestic consumption. As for Thailand, which is expected to be a country that benefits from the trade war, Credit Suisse has revealed that investment capital or FDI in Thailand has not grown at all. At the same time, Thailand's electronics industry, which is part of its exports, is losing its share of exports to other countries. in Asia is increasing more and more.
Meanwhile, the Thai tourism industry is expected to be based on the current structure of Thailand. It may cause Thailand to lose tourists to ASEAN countries such as Vietnam, Philippines, Indonesia, and Cambodia due to major reasons. It is the issue of the value of the baht that makes tourists feel that traveling to Thailand is more expensive. Including the issue of Thai infrastructure. Moreover, the current valuation of Thai stocks is considered expensive. The value of the Thai baht is slowly appreciating. Including the profit forecast for next year. Thai listed companies are still considered to have another weak year, causing Credit Suisse to view that next year for Thai stocks will be another difficult year. For Thai stocks next year, Credit Suisse mainly likes telecommunications and petrochemical stocks. and reduce investment weight in medical stocks (but likes small hospitals) and all infrastructure-related stocks Due to looking at project approval in the past