2 Premium Food Export Stocks TU-ITC Enter Peak Season, Brokers Cheer Up Performance.

The third quarter of this year is likely to be another peak season for food exporters. Data from the Center for Economic and Trade Research, Siam Commercial Bank (SCBEIC Bank) Evaluation of the production sector related to itworld TradeHe will return to play the leadership role.World EconomyMore this year, this trendExportsMany products that contracted in the first quarter will expand again throughout the rest of the year.

The reporters surveyed Thai stocks that run large food export companies with more than 50% of their income from abroad, and found 2 that have business ties and are about to benefit from the entry.Top of the seasonIncluding Thai Union Group Public Company Limited or You I-Tel Corporation Public Limited or International Trade Center There is still an attractive price differential on the board from the primary target price.

You

TU, one of the world's largest seafood companies, produces and exports frozen and canned ready-to-eat meals. Expands the business to fully integrate with ready-to-eat and snack food companies. Focusing on seafood, packaging and printing business, local marketing business, animal feed business and shrimp species development business for sale

Recommended by Asia Plus Securitiesoutperform stocks The appropriate price is 19.00 baht (closing price on July 5, 2024 is 14.90 baht) with the normalized profit for Q2/24 expected to be 1.4 billion baht, up 2.5% year-on-year and accruing 50% from the low base in Q1 of the statement. The system increase is led by the pet food and canned seafood businesses. To support sales and margins including the improved performance of AVANTI and the absence of RED LOBSTER business, this has a positive impact on profit sharing between related companies. Offsets increased sales, administrative expenses and taxes.

Moreover, the process Q3/2024 It is expected to grow on a quarterly basis from seasonal factors and on a yearly basis from increased orders in the core business. Followed by processed and canned seafood. Demand for frozen and chilled seafood is expected to increase. The profit trend is upward in Q3 2024 and the second half of 2024 will be better than the first half of the year.

International Trade Center

ITC, a subsidiary of TU Financial Group, operates a pet food production and distribution company. It focuses on 99% pet food-related OEM products and exports to the United States, Europe, Japan and other countries.

Asia Plus Securities also analyzed the stock saying that ITC is alsooutperform stocks Also, the target price is 29.00 baht (closing price on July 5, 2024 at 23.80 baht). Regular earnings for Q2 2024 are expected to reach 890 million baht, up 1.4% QoQ and 106% YoY from continued increase in order volume. Led by the US and Europe. Supporting higher sales is increased capacity utilization creating economies of scale and lower production costs per unit. In addition, tuna stocks cost has decreased. It has a positive impact on margin.

while Sales trends for the second half of 2024 There is still a steady momentum of increased orders in Q3 2024, and some orders are expected to be received in Q2 2024, but cannot be delivered in time due to issues with containers from US customers, which will have to be postponed to Q3 2024. Therefore, this quarter is still expected to have a chance to rise and reach its highest point in Q4 2024 depending on the seasonal factor.