clock!! The ‘OR’ shares entered on the first day of trading.

clock!! The ‘OR’ shares entered on the first day of trading. Is the above price reserved? From the market capitalization 2.08 billion baht

Reporters reported that on February 11, PTT Oil and Retail Public Company Limited or OR will enter the first day of trading on the Thailand Stock Exchange (SET) after announcing the right to subscribe for shares to the public.

OR has the number of shares registered in the SET and the number of shares paid out of 11.610 million shares at a nominal price of 10 baht per share, while the number of IPO shares of 2.610 million shares are allocated to the general public. of 2,310 PTT Public Company Limited, with 299.99 million shares, with the IPO price of 18 baht, resulting in the opening date of the OR market, there will be 208.980 million baht of market capitalization compared to the IPO price.

The open side of analysts’ view Before seeing the actual trade price

Yuanta Securities (Thailand) estimates that the growth of the company will come from the expansion of its non-oil business and CLMV business abroad, which has a high economic growth rate.

The Thai gas station business will continue to be the main source of income and will generate cash flow for the company. Despite the long term, electric vehicle technology will put operating room stocks at risk due to demand for oil. But that stocks can also reduce risk AND turn it into a new business opportunity by installing an electric vehicle charger at your own service station (currently 25)

If based on the assumption of earnings in 2021 at 1.1-1.3 billion baht (higher than 2018-2019 by 0.9-1.1 billion baht due to higher number of branches), or equivalent to earnings per share (EPS ) around 0.92-1.08 baht at the IPO price.You will receive a PE value of 16.4 to 19.6 times, with OR being the market leader in the country, the non-oil business group is strong and has the opportunity to grow abroad. In addition, these PE levels are 30 times lower than the retail average with PE levels.

Asia Plus Securities (Securities) Public Company Limited estimates that in 2021, OR is expected to make a profit from normal operations of approximately 1.2 billion baht, an increase of 41.2% over the same period last year. Driven by the recovery of all business groups

For the long-term outlook from 2021 to 2024, the company is expected to have an average annual earnings growth of 16.7%, using 2020 as the base year, with a forecast that the economy will recover. And travel both domestically and internationally will continue to increase due to measures to relax the blockade.

The research department assumes that 108 service stations are opened per year and 418 more Cafe Amazon stores per year, in line with the main goal of OR, while foreign companies have 35-36 service stations open per year. And expand Cafe Amazon branches 35-36 per year. year

As a result, 2022-2024 is expected to have earnings growth of 16.7%, 5.8% and 6.4% compared to the same period last year to 14 billion baht, 15 billion baht, and 16 billion baht. baht, respectively.

The fair value of OR in 2021 using the discounted cash flow (DCF) method is approximately 24 baht per share, which represents a price-earnings per share (P / E) ratio of 24.3x, which is similar. The weighted average P / E of energy shares per P / E in retail shares of 70:30, which is 25.7 times the P / E, while OR is expected to pay a dividend of up to 70:30. 0.8 baht per share or equivalent to the Dividend Yield (Dividend Yield) of approximately 4.2% under an assumption of 18 baht per share.

However, on February 10, PTT Oil and Retail Public Company Limited or OR notified the Thailand Stock Exchange (SET) of the operating results for the first 9 months of 2020 which ended on September 30. For 2020, the Company had sales and service revenue of 319,308.4 million baht, a decrease of 25.8% compared to the same period in 2019.

While the operating profit before expenses (EBITDA) stood at 12,523 million baht, a decrease of 9.1% compared to the same period of 2019 and a net profit of 5,868.5 million baht, a decrease of 34.4% compared to with the same period of the year.

The Company clarified that the oil business has combated the impact of the decrease in sales volume. And lower oil prices While the non-oil retail business was reduced by the loss of demand. What is affected by the COVID-19 outbreak