Thai market emerges the best performer in Asean in 2016

[webfact]

Thai market emerges the best performer in Asean in 2016
By Thanawat Patchimkul 
Head of Research 
DBS Vickers Securities (Thailand) 

 

The Stock Exchange of Thailand is expected to end the year as the best performer in Asean.

 

As of December 21, the SET Index had risen 17 per cent since the beginning of the year, compared with a range of minus 4 per cent to plus 13 per cent for other markets in the region. This has been the best annual performance since 2012. This reflected strong profit growth of 35 per cent for the first nine months of 2016. 

 

Nonetheless, we maintain our 12-month target for the SET Index at 1,570 points, based on a forward price-to-earnings ratio (P/E) of 15.4 times for 2017. The upside potential of the SET Index from the current level is quite limited in light of the fact that the EPS (earning per share) growth of the Thai market is relatively low compared with regional peers.

 

As the government continues to accelerate its spending, mainly on infrastructure projects, to drive the economy, we believe that construction activity will be ramped up in 2017.

 

Full story: http://www.nationmultimedia.com/news/business/EconomyAndTourism/30302819

 

-- © Copyright The Nation 2016-12-26

 

 

[optad]

Source is a brokerage house placing a virtual advertorial in The Nation.

[trogers]

The cause of the strong Baht... the stock market!

[chainarong]

To be honest I don't care, however the Malaysian  Ringgit is at it's lowest since the Asian Crisis of 97 and all because of one person and or one political party...........................................

[Srikcir]

5 hours ago, webfact said:

The Stock Exchange of Thailand is expected to end the year as the best performer in Asean.

Ironcially as long as you don't compare it to the EPS of Thailand's reginal peers.

I leave it to foreign investors to show where they prefer to invest - 70% fled Thailand and are investing in the other ASEAN members. Now Prayut is struggling to hold domestic investors.

[elgordo38]

Well IF I had money to invest I would sooner pay $10 or less a share for some premium companies listed on the SET than buy 1 share of Priceline for $1500 a share. I am having trouble valuing it at $15 but I guess the Wall Steet casino is still pumping out profits. I hear that the average share under all this algorithm trading changes hands every 22 seconds. 

[louse1953]

1 hour ago, Srikcir said:

Ironcially as long as you don't compare it to the EPS of Thailand's reginal peers.

I leave it to foreign investors to show where they prefer to invest - 70% fled Thailand and are investing in the other ASEAN members. Now Prayut is struggling to hold domestic investors.

They are doing alright then,if 70% fled.

[elgordo38]

6 hours ago, chainarong said:

To be honest I don't care, however the Malaysian  Ringgit is at it's lowest since the Asian Crisis of 97 and all because of one person and or one political party...........................................

Yes that old sly fox Najib just cannot pull his fingers out of the 1MBD pie. He wants to call a snap election but the election gods do not favor him at this time. Soo he turns all his big guns towards the Royhinga to deflect his peoples attention. He is trying to "appear" as their savior. You got to hand it to him he is a sly old fox. 

[Baerboxer]

6 hours ago, Srikcir said:

Ironcially as long as you don't compare it to the EPS of Thailand's reginal peers.

I leave it to foreign investors to show where they prefer to invest - 70% fled Thailand and are investing in the other ASEAN members. Now Prayut is struggling to hold domestic investors.

 

Sour grapes?

[Baerboxer]

2 hours ago, louse1953 said:

They are doing alright then,if 70% fled.

 

Shhhh. He predicted gloom, doom and ruination when a certain family clan were removed. Just like all those Western governments wouldn't deal with the new government. Wrong, wrong and thrice wrong!

[Retiredandhappyhere]

2 hours ago, Baerboxer said:

 

Shhhh. He predicted gloom, doom and ruination when a certain family clan were removed. Just like all those Western governments wouldn't deal with the new government. Wrong, wrong and thrice wrong!

 

He was obviously wrong, then, as clearly the Thai economy is booming and investment is pouring in and everyone is happy. 

[Bulldozer Dawn]

Just now, elgordo38 said:

Well IF I had money to invest I would sooner pay $10 or less a share for some premium companies listed on the SET than buy 1 share of Priceline for $1500 a share. I am having trouble valuing it at $15 but I guess the Wall Steet casino is still pumping out profits. I hear that the average share under all this algorithm trading changes hands every 22 seconds. 

 

I could not agree with you more. 

 

There is a great article about this here:  Trade Thai Shares and Not American Stocks

 

The author provides some very valid and logical arguements why you are much better off to buy Thai blue chip companies and not American Stocks.  He provides current examples of some premium Thai companies with 100% dividend payout history (6% or more yield) that sell for less than the equivalent of one US dollar.  Below is a snippet from his article:

 

Quote

Buying A Blue Chip Company For Under 5 Cents

Image if you worked for me as a professional trader and I asked you find me an American penny stock that is currently trading for less than a dollar, but it must be a well established and financially sound company, a leader in its industry sector, and pay regular dividends yielding more than 6% p.a. You would think that I was nuts, right? But here’s the thing, if I gave you the same criteria, but told you to look at shares listed on the Stock Exchange of Thailand you could find me something in a matter of minutes. Fact is, you could even find a company that meets all of my criteria and trades for the equivalent of less than 5 cents per share.

 

 

[Get Real]

Probably 7/11

[Bulldozer Dawn]

Just now, Srikcir said:

Ironcially as long as you don't compare it to the EPS of Thailand's reginal peers.

I leave it to foreign investors to show where they prefer to invest - 70% fled Thailand and are investing in the other ASEAN members. Now Prayut is struggling to hold domestic investors.

 

As an active trader on the SET, that is certainly not what I have seen.  The market has been in a bull run since the big event.  These last two weeks it has been bouncing off the 1500 support level and testing new highs.

 

In any event, even if the Thai Stock Market does correct due to an outflow of foreign capital, that situation still presents exceptional opportunites for profit.

 

Investment in securities is more than just buy and hold forever.  Those days are long gone in todays world, and they are certainly gone while Donald Trump is at the helm.

 

Below are links for two recent and well written articles on how to make money when Thai share prices are falling.

 

If you want to learn how to short a specific Thai company read this:

How to Short Sell Thai Shares

 

If you want to learn how to short the Thai market as a whole read this:

How to Short Sell the Thai Stock Market

 

If you are worried about any current investments you already have in Thai shares you should note that Thai brokers now offer trailing stop functionality to protect your capital.  You can read about Thai trailing stops here:

How to Use Trailing Stops in Thailand

 

 

[elgordo38]

2 hours ago, Bulldozer Dawn said:

 

I could not agree with you more. 

 

There is a great article about this here:  Trade Thai Shares and Not American Stocks

 

The author provides some very valid and logical arguements why you are much better off to buy Thai blue chip companies and not American Stocks.  He provides current examples of some premium Thai companies with 100% dividend payout history (6% or more yield) that sell for less than the equivalent of one US dollar.  Below is a snippet from his article:

 

 

 

Good article proves my point.