Alerts

   Denise Joaquin

(July 18, 2025) Maintain BUY. We maintain our BUY rating on SSI with FV estimate of Php4.60/sh. Our positive outlook on the company is underpinned by our more constructive view on discretionary consumer spending this year, driven by easing inflation and a more accommodative interest rate environment.

   Denise Joaquin

(July 11, 2025) Maintain BUY. We believe RRHI’s multi-format portfolio should allow it to enjoy stable demand for essentials and enable it to capture a potential recovery in discretionary spending, owing to easing inflation and regional wage increases. We estimate that excluding the market value of the firm’s stake in BPI, even applying a 20% discount, the market is only valuing RRHI’s retail business at 3.7X 2025E P/E.

   Rachelle Anne Biacora

June 13, 2025. Reiterate BUY. We reiterate our BUY rating on JFC with an FV estimate of Php300/sh. We believe that the acquisition of Norang Tongdak positions JFC to scale more effectively in South Korea’s competitive market, with potential to drive business growth by leveraging its strong expertise in the fried chicken industry. This follows the company’s successful acquisition of Compose Coffee, which continues to significantly support the growth of its international segment and demonstrates its ability to potentially succeed in the region’s food and beverage space. At its current price, we believe the stock offers a compelling upside of 28.3% relative to our FV estimate.

   Charmaine Co

June 02, 2025. Realigning estimates, maintain BUY. We currently have a BUY rating on EW, with an FV estimate of Php12.30/sh (based on 0.35x 2025E P/B). We maintain our positive outlook on the bank due to its strong positioning to capitalize on the Philippines’ growth, which is fueled by domestic consumption. The easing of inflation and monetary policies also creates a favorable environment for consumer activity, further benefiting the bank’s consumer-focused portfolio. Furthermore, with 82% of its loan book being loans to consumers, we believe EW should be more resilient against uncertainties in global trade, including the potential impact of U.S. tariffs. We also view EW as a potential dividend play, with a dividend yield of ~6%.

   Charmaine Co

May 29, 2025. Raising FV to Php57.20/sh, maintain BUY. We are raising our FV estimate for PNB to Php57.20/sh (based on 0.40x 2025E P/B ex-goodwill) from the previous Php41.40/sh (based on 0.30x 2025E P/B), while maintaining our BUY recommendation. This upward revision reflects consecutive quarters of earnings outperformance, underpinned by a more favorable asset mix, improving asset quality, and stronger core profitability.

   Richard Lañeda, CFA

May 29, 2025. Maintain BUY with FV estimate of Php2.08. We maintain our BUY rating on VLL given its 28.4% upside to our fair value estimate. We also note that our fair value estimate of Php2.01 is based on a 70% discount to our NAV estimate of Php6.69. In addition to its deep discount to NAV, relative valuation is also very compelling, trading at just 1.9X FY25 P/E. VLL’s fundamentals are solid, with real estate revenue and take-up sales growing Y/Y. A potential decline in interest rates would also be a boost in sales. Meanwhile, leasing revenues are stable for VLL and account for around 45% of revenues. This gives VLL a steady source of income and cashflow to support its property development business.

   Denise Joaquin

May 27, 2025. Increasing FV estimate to Php13.20/sh. In light of the stronger-than-expected first quarter results, we are raising our FV estimate on COSCO to Php13.20/sh from Php12.60/sh previously. This reflects upward adjustments in our net income forecasts for liquor distribution and the commercial real estate segment. Additionally, we incorporated the projected earnings contribution from the energy and minerals unit, which we estimate at Php231Mil for FY25 and Php229Mil for FY26. As a result, our consolidated net income forecasts increased to Php9.8Bil (+6.70%) for FY25 and Php11.0Bil (+6.8%) for FY26. We reiterate our BUY rating on COSCO given the attractive upside potential relative to our FV estimate. We think the stock remains severely undervalued, with the market not valuing its other businesses (apart from PGOLD) like the fast-growing liquor business, in our view.

   Denise Joaquin

May 21, 2025. Reiterate BUY. We have a BUY rating on SSI with FV estimate of Php4.70/sh. Our positive outlook on the company is underpinned by our more constructive view on discretionary consumer spending this year, driven by easing inflation and a more accommodative interest rate environment. While potential second round effects from US tariff policies (such as possible price adjustments by brand principals) remain a risk, we believe any shocks will be cushioned by the resilience of SSI’s core customer base in the upper-end segment. At current prices, we estimate that SSI is trading at only 4.0X 2025E, a discount to our 6.0X target multiple and the stock’s five-year median 5.9X P/E.

   Paolo Miguel Manansala

May 20, 2025. Reiterate BUY rating on CNVRG. We currently have a BUY rating on CNVRG with an FV estimate of Php25.0/sh. We continue to like CNVRG for being a pure play on fiber broadband and for the rapid growth of its postpaid and prepaid subscriber base. Expansion to underserved areas will also help fuel subscriber growth. At its current price, capital appreciation potential is significant at 33.2%.

   Paolo Miguel Manansala

May 20, 2025. Estimates under review. Given their recent performance, we are going to review estimates and evaluate if there is further potential for capital appreciation. Currently, we have a BUY rating on MWC with an FV estimate of Php35.1/sh.