Alerts

   Denise Joaquin

Maintain BUY- May 22, 2023 We maintain our BUY rating on CNPF with an FV estimate of Php28.0/sh. We continue to like CNPF for its strong brand equity and track record of revenue and earnings growth. Amid the current inflationary environment, CNPF continues to benefit from its broad portfolio of products positioned across multiple price tiers. At its current price, we estimate that CNPF is trading at 15.9x 2023E P/E, a discount to the industry median of 22.6x.

   Charles William Ang, CFA

Maintain BUY- May 22, 2023 We currently have a BUY rating on EW with an FV estimate of Php10.50/sh, based on 0.35x 2023E P/BV. We maintain our rating on the bank as its lending operations and asset quality have shown signs of improvement since the reopening of the economy. Moving forward, we expected to see continued growth as the economy recovers.

   Charles William Ang, CFA

Maintain BUY - May 22, 2023 We currently have a BUY rating on SECB with a FV estimate of Php141/sh, based on 0.75X 2023E P/BV. Moving forward, we expect SECB to benefit from the country’s economic recovery. We also believe its high capital ratios and liquid balance sheet will allow it to pursue opportunities to further grow its intermediation business.

   Carlos Matthew De Leon

May 22, 2023. We currently have a BUY rating on PIZZA with an FV estimate of Php10.2/sh. We expect revenues to maintain their growth trajectory as the impact of price increases and more favorable lock-in prices for key commodities are realized. At current prices, we see pullbacks as opportunities to pick up the stock.

   Denise Joaquin

Maintain BUY- May 22, 2023 We reiterate our BUY rating on SSI with an FV estimate of Php4.5/sh. We expect SSI to continue benefitting from eased mobility restrictions and from the return of foot traffic to malls. Despite inflationary headwinds, we think SSI remains well-positioned to capture the rebound in discretionary spending given its core customer base in the upper-income segment and its portfolio of established and upscale brands. At its current price, we estimate that the stock is trading at only 4.4x 2023E P/E, below the 11.8x median P/E of regional peers.

   Richard Lañeda, CFA

HOLD with FV estimate to PHP0.90- May 19, 2023 We maintain our HOLD rating and FV estimate of Php0.90 on FLI given the challenging operating environment of both residential and office leasing sector. Demand for residential projects is expected to be pressured by higher interest rates and risks on economic growth. Meanwhile, FLI continues to underperform in the office leasing segment with a higher-than-industry vacancy rate because of its previous exposure to the POGO segment. While economic activity has improved, the hybrid work-from-home set-ups has reduced overall demand for office space, making it harder to FLI to increase occupancy rate of its offices.

   Charles William Ang, CFA

May 19, 2023. We are reiterating our buy rating on GTCAP with an FV estimate of Php940/sh. We like GTCAP as it stands to benefit from the continued strength of the local economy. A stabilizing peso should also benefit GTCAP as it allows TMP’s margins to recover. At its current price of Php501/sh, it is trading at just 6X 2023 earnings, significantly below its historical average P/E of 12X. Current discount to NAV also remains near historical high at 53%.

   Richard Lañeda, CFA

Maintaining HOLD rating - May 18, 2023 We maintain our HOLD rating on VLL with a fair value estimate of Php2.04 given the continued lack of visibility in its real estate revenues despite reporting growing take-up sales since 2021.

   Carlos Matthew De Leon

Estimates under review, Maintaining BUY rating- May 18, 2023 In light of the 1Q23 beat, we will be reviewing our estimates for CEB. We currently have a BUY rating on the stock with a FV estimate of Php53.0/sh. We view that CEB is positioned to benefit from the reopening of the economy and recovery of travel. Coupled with improving load factors, easing cost pressures in softening oil prices should buoy margins.

   Charles William Ang, CFA

May 17, 2023. We currently have a BUY rating on PNB with a FV estimate of Php33.1/sh, based on 0.30X 2023E P/BV. We view PNB as a deep value play since the bank is only trading at 0.17X 2023E P/BV. We expect loan growth to improve as the economy continues to recover and as the bank continues to build up its portfolio.