บทวิเคราะห์ (Research)

ERW : Earnings Preview - Rising cost pressure 3Q24F earnings We downgraded ERW to Trading Buy with a target price of Bt4.30. This is premised on : (i) We expect a contraction in core profit for 3Q24F, driven by higher expenses and Grand Hyatt Erawan (GHE) incidents (ii) 9M24F is 68% of our 2024 forecast, maintaine our forecast with expect growth in 4Q24F from the high season and recovery at GHE in 4Q24F ; (iii) ERW’s stock has increased by 29% over the last three months, currently trading at a 24x P/E 25F that offer limit upside to our target price. We believe ERW has passed its high growth phase and will enter to normal growth, expecting +9% yoy net profit in 25F and there is some ovehange such as the contract renewal and renovations at the GHE to monitor.