Excluding the profit from the sale of the office building, 3Q22 core earnings would have been only Bt81m—below the estimates of ourselves and the street. And the 4Q22 number looks set to be the weakest of 2022. We view this as a good time to take profits, following yesterday afternoon’s stock price spike. Our HOLD rating stands with a YE23 target price of Bt4.50, pegged to a PER of 10x (LPN’s long-term mean).
Beat our estimate and the consensus by miles
LPN marked a 3Q22 net profit of Bt236m, up by 791% YoY and 60% QoQ. The result was 153% above our estimate (and 136% ahead of the street), due to an extra gain from selling Lumpini Vibhavadi-Chatuchak Tower in 3Q22.