Equity Analysis /
Thailand

TH : Oil & Gas Refinery - Undervalued in a risk-off market

    CGS-CIMB
    19 July 2022
    Published byCGS-CIMB

    The diesel crack spread appears to be staying above the pre-war level in Jul 22 despite the recent pullback, reflecting tight refinery capacity globally. Thai refiner stocks have yet to price in record GRM, especially SPRC, for which implied market GRM is only 1.97x in 2022F.