Thai Banks At Set

[LaoPo]

I don't follow the SET on a daily basis but know there are some investors on TV who do.

Is there anybody who can update the P/E's of Thai Banks and other large financial Institutions ?

I'm curious, because the P/E's of the largest Banks in the world, in the US and EU are at an almost all time low:

P/E's of large Banks/Financials, as of today:

Citibank at 8.88

Deutsche Bank 9USA) 5.36

Barclays PLC (USA) 6.36

JPMorgan (USA) 8.85

Bank of America 9.98

ING Group (USA) 6.57

Royal Bank of Scotland 6.74

Credit Suisse 6.3

UBS AG (USA) 9.02

They're bargains if you look at them. A month or 2 ago one of the posters said he wanted to buy a Bank stock in Thailand; I commented that I thought it was too early, and it was, back than.

The question is, are the Banks above cheap enough or is there more 'dirt' under the blankets in respect to the sub prime losses....?

Prince Alwaleed, the largest privately owned stock holder of Citigroup thinks the stock is way too low: (of course he says that )

Alwaleed says Citi shares too low, not selling

http://www.reuters.com/article/businessNew...039978820071111

So, what about the P/E's of the Thai Banks ?

Would you buy them now ?

Laopo

[samran]

the free bloomberg should have the concensus analysis of P/E. Take a look there perhaps?

[LaoPo]

the free bloomberg should have the concensus analysis of P/E. Take a look there perhaps?

Where on Bloomberg ? I can't find it.

Here's a link to:

http://finance.google.com/finance?q=thaila...restype=company

Google Finance doesn't give the details, P/E's of Thai Banks or other stocks. It would require enormous research to find them, if available at all.

But maybe you, reading/speaking Thai (am I right ?), have access to the SET's P/E's figures ?

LaoPo

[LaoPo]

P/E's of large Banks/Financials, as of today:

Citibank at 8.88

Deutsche Bank 9USA) 5.36

Barclays PLC (USA) 6.36

JPMorgan (USA) 8.85

Bank of America 9.98

ING Group (USA) 6.57

Royal Bank of Scotland 6.74

Credit Suisse 6.3

UBS AG (USA) 9.02

The question is, are the Banks above cheap enough or is there more 'dirt' under the blankets in respect to the sub prime losses....?

Laopo

The question, above is answered sooner than I expected with the details and graph, below:

" The Banking Index's chart is below. Long Term, it broke its 5 year support which is not good. On the short term, the index has witnessed a sharp drop and it reached its support line for the second time last week.

The last time it hit the support (the first black arrow), it rebounded about 12% to the upside. Since 20% of the S&P 500 is made up of financial stocks, that alone should have given the S&P a 2.4% rise. Eleven days from the Banking Index's rebound, the S&P went up 9%.

Having hit the second support last week, it opens up the possibility of an up move on the Banking index which could have a short term up influence on the S&P 500. "

So...."short term up"..but still fragile I think:

From: http://www.stocktiming.com/Monday-DailyMarketUpdate.htm

But, I'm still curious about the Thai Banks P/E's

LaoPo

[lannarebirth]

Lao Po,

You might try PM'ing Thai Visa member "goatfarmer" who maintains this site:

http://www.asiachart.com/thai.html

He seems to be very clued in to the SET

[LaoPo]

Lao Po,

You might try PM'ing Thai Visa member "goatfarmer" who maintains this site:

http://www.asiachart.com/thai.html

He seems to be very clued in to the SET

Thanks, Lannarebirth.

I'm surprised though...VERY surprised, that nobody at this Forum seems to have an answer; must be 'misty' to get P/E's in Thailand ?!

I would think that anybody, wanting to invest in Thailand (buying shares on the SET) wants to know more details about a certain company.

That means also that private investors have to rely on brokers' info whether to buy or not.

I'm happy there's more info to get on the Western+HK+S'pore-Japan markets. Maybe that's ALSO a hurdle for normal people to buy on the SET...I don't know.

Edit:

Maybe this is why it is so difficult:

"SET Website The SET has changed its website again. It is pretty, but inefficient, slow and cumbersome and can not be viewed on Netscape. The new site provides the same data as before, but with more graphics and inefficient use of space. Data is dispersed throughout the site making data retrieval painfully slow. The site has stopped providing SET Sector Indices high, low and volume."

All-in-all: the SET is slow and unreliable to take fast action !

My view ? Don't buy as an individual as it 'looks' like the SET is SET-UP for -Thai- insider trading only. TIT Hope I'm wrong though !

From: http://www.asiachart.com/links.html

LaoPo

Edited November 13, 2007 by LaoPo

[Tywais]

Not sure why you are not using the SET website, it does list the P/E of the traded companies. For example Bangkok Bank currently shows P/E of 12.44. I found it quite easy to navigate and has English language option and symbol lookup. Though haven't saw a way yet to see the P/E on a daily basis, but haven't looked that far yet.

[goatfarmer]

Price Earnings Ratios of all SET stocks are published daily in the finance section of the Bangkok Post and the Nation. As for the PEs of sectors, you would have to get that info from a broker. You can see PEs in real time on most of the brokers' trading software.

Several Thai banks are sitting on good supports. KTB and KK are two of my favourites. KTB for technical reasons. KK for PE and ROA.

[TonyLeung]

i wouldn't buy thai bank stocks. i wouldn't trust anything these companies say.

Edited November 13, 2007 by TonyLeung

[TonyLeung]

Here is what I see on Bangkok Banks website

"Loans to suit your needs

We offer flexible lending and refinancing options, combined with attractively low interest rates that start at 3.25% for the first year, credit lines of up to 90% of the property appraisal value, and flexible loan terms."

And

"You can now submit your loan application"

I hope they have been making sure these people weren't lying about their income!

-----

8. How long will it take for my loan to be approved?

It normally takes around 14 working days from submitting your loan application until you receive your loan.

Edited November 13, 2007 by TonyLeung

[TonyLeung]

2. If I don’t have sufficient income, can I still get a mortgage?

Yes. You will need to have a guarantor for a loan or a co-borrower who meets the income requirements.

[samran]

the free bloomberg should have the concensus analysis of P/E. Take a look there perhaps?

Where on Bloomberg ? I can't find it.

Here's a link to:

http://finance.google.com/finance?q=thaila...restype=company

Google Finance doesn't give the details, P/E's of Thai Banks or other stocks. It would require enormous research to find them, if available at all.

But maybe you, reading/speaking Thai (am I right ?), have access to the SET's P/E's figures ?

LaoPo

http://www.bloomberg.com/apps/quote?ticker=kbank:tb

on the 'fundamentals' table.

[TonyLeung]

Minimum Loan Rate ( MLR ) 6.875

There are two periods of mortgages: teaser period and floating period.

With a teaser period, the interest rate is set in advance, usually between one and three years. Normally, the interest rate of teaser period is lower than that of floating period.

A floating period is a variable interest rate, which changes in response to financial conditions. The bank's floating interest rate is at the same level as the MLR. When a teaser period term expires, the rate usually shifts to the Minimum Loan Rate (MLR) for the remainder of the loan period.

[TonyLeung]

For Flat-rate Mortgage plans, the interest rate is 8%

I think the sub-prime loan would look good to many Thais.

[tingtong]

I don't follow the SET on a daily basis but know there are some investors on TV who do.

Is there anybody who can update the P/E's of Thai Banks and other large financial Institutions ?

I'm curious, because the P/E's of the largest Banks in the world, in the US and EU are at an almost all time low:

P/E's of large Banks/Financials, as of today:

Citibank at 8.88

Deutsche Bank 9USA) 5.36

Barclays PLC (USA) 6.36

JPMorgan (USA) 8.85

Bank of America 9.98

ING Group (USA) 6.57

Royal Bank of Scotland 6.74

Credit Suisse 6.3

UBS AG (USA) 9.02

Would you buy them now ?

Laopo

compering the above P/E numbers to the thai banks P/E, thai banks are expensive. P/E wise the cheapest ( as today) is KK 9.13, and the most expensive is TBANK 85.4.

Bangkok Bank( BBL) is around the mid, at 12.44....way above the banks you listed.

[LaoPo]

Thank you Gents, for the support and answers, much appreciated

It seems that Thai banks are overpriced in comparison to the Western Giant Banks and Financials.

LaoPo

[cclub75]

Google Finance doesn't give the details, P/E's of Thai Banks or other stocks. It would require enormous research to find them, if available at all.

What happen to you LaoPo ?

Everything is online, on SET website.

For instance, our friends of TMB.

http://www.set.or.th/set/companyinfo.do?ty...&country=US

SCB :

http://www.set.or.th/set/companyinfo.do?ty...&country=US

And indeed, PE of thai banks are... far, far away in another galaxy.

Edited November 13, 2007 by cclub75

[fletchsmile]

Thank you Gents, for the support and answers, much appreciated

It seems that Thai banks are overpriced in comparison to the Western Giant Banks and Financials.

LaoPo

http://www.set.or.th/setresearch/frs_p1.html

- for overall SET.

Bangkok Post, Nation etc show by sector. Personally I prefer to look at the SET than individual companies, as I simply buy funds rather than individual companies for Thailand. Then leave it up to the fund managers who know the individual stocks better than me, and are closer to the information streams. They regularly seem to beat the index compared to their peers say in UK which struggle to outperform indices.

For banks P/Es in Thailand they go from anywhere around zero or negative up to 80+ for TMB. i.e not worth much when viewed in isolation as simple comparisons. To put in perspective. Northern Rock in UK shows around 1.7. Would be very wary of saying it is cheap or not just based on 1.7 vs 8 (US) vs double digits in Thailand. Anyone think Northern Rock is going to have a good year. There's a reason for that low P/E...

Not a big fan of looking at P/E ratios, especially without context. If I was going to consider, I'd really want to look at forecast P/Es for comparison over the coming couple of years. Not historic.

The coup took the edge off performance last year for Thai Banks. Earnings have been very mixed this year so far. Q4 is expected to be stronger, and next year pick up further.

On the other hand US had no coup last year, but CDO, sub-prime, housing etc issues this year, and mainy will show weak Q3's and Q4's. Some banks eg Citi may be lucky to make that 8.8 for this year if you look forward.

i.e two are in different cycles, with different factors. Certain amount of de-coupling already in play. Will be interesting to see how much if the US hits a recession...

Edited November 13, 2007 by fletchthai68