Thai Market Strategy: 3Q20 earnings preview: QoQ recovery in 3Q20 and 4Q20
- 3Q20 SET bottom-line set to jump QoQ, but still dive 29% YoY
- 4Q20 SET earnings to increase further QoQ
- More sectors saw earnings forecast upgrades for 2021 in October
3Q20 profit recoveries are on-track—stronger in some sectors (especially in Electronics and Food) than in others. Earnings quality remains a key theme, given the ongoing risks, such as the domestic political situation, US election uncertainty, and macro-economic risk tied to resurgent global COVID-19 infections. Market anticipation of vaccine development, more economic stimulus, and a sustained macro recovery (assuming no new round of tight lockdowns) could limit SET downside in the short-term; then the market could start rallying when the uncertainties are settled.
- 1 Strategy Note/Nigeria Nigeria #EndSARS protests more broadly politicised but low in list of risks
- 2 Strategy Note/Global Saudi and GCC ugly fiscal truth from low oil prices
- 3 Flash Report/Nigeria Nigeria: #EndSARS risk spreads to lockdown and Niger Delta oil threat
- 4 Strategy Note/Pakistan Pakistan opposition rally but Army-Imran-China triumvirate to persist
- 5 Sovereign Analysis/Ukraine Ukraine: Another IMF review, another delay – notes from virtual meetings
This report is independent investment research as contemplated by COBS 12.2 of the FCA Handbook and is a research recommendation under COBS 12.4 of the FCA Handbook. Where it is not technically a res...