HANA’s valuation remains in expensive territory—a 2022 PER of 21x (3.5SDs above its mean). That said, its growth outlook is solid, driven by strong demand among automotive and smartphone brands and industrial product manufacturers. Our HOLD rating stands.
3Q21 core earnings were 5% below our estimate
HANA posted a 3Q21 bottom-line of Bt564m, up 76% YoY but down 23% QoQ. Excluding an FX loss and a loss on derivatives, core earnings would be Bt701m, up 92% YoY but down 9% QoQ. The core number was 5% below our expectation (but was in line with the street), due to a slimmer GM than we had assumed.