We suggest buying SIRI, as the market has not yet priced in the street-beating 2Q22 result (though it was in line with our estimate). The stock price has slid 16% YTD in the face of a ResProp Index rise of 1% YTD. Our BUY call stands to a 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 25% above the consensus
SIRI reported a net profit of Bt918m for 2Q22, up by 39% YoY and 203% QoQ. Stripping out a one-time net-of-tax asset sale of Bt49m, core earnings would be Bt868m, up by 32% YoY and 143% QoQ. The result was in line with our estimate, but was 25% above the consensus. SIRI announced a DPS for 1H22 of Bt0.04, a 3.8% simple yield (XD Aug 29, payment Sep 13).