We have a BUY call to a YE22 target price of Bt7.60. ITEL trades at a cheap 2022 PEG ratio of 0.7x. Our model points to strong 2H22 growth. The new NBTC commissioners will take some time to settle in, so big-ticket NBTC projects (such as the USO-TOT and Course Online projects) can be expected to start during 2H22. ITEL has a new data center contract with a hyperscaler client that will go live in 3Q22.
Earnings in line with our expectation
ITEL posted a 1Q22 net profit of Bt55m, up 19% YoY but down 42% QoQ. The result was consistent with our estimate.