We suggest buying on dips, as the market has already anticipated and priced in the weak 1Q22 result—the stock price has dropped 14% YTD. Our BUY call stands to a new YE22 target price of Bt1.50, pegged to a PER of 9.5x (1SD above SIRI’s long-term mean in order to factor in its aggressive 2022 business plan).
In line with our estimate, but below the consensus
SIRI reported a net profit of Bt303m for 1Q22, down by 21% YoY and 12% QoQ. Stripping out a one-off impairment, core earnings would be Bt358m, down by 5% YoY and 18% QoQ (expenses tied to providing the Moderna COVID-19 vaccine to staff). The result was in line with our estimate, but was 12% below the street (a lower top-line than the consensus assumption).