The Thai Stock Market Has Not Lost Its Charms - With Both High Dividends And Growth Stocks, And Net Profits Up 100%

The Thai Stock Market has many attractive products for investors. As evidenced from their operational reports, as many as 33 listed companies had more than 100% growth in net profits. Moreover, the closing prices of more than forty listed companies increased by 100% and above at the end of 2001 compared to the previous year. The SET Index, reflecting all share prices in the Thai market, has improved by 12.88%. It is thus a good time for high-yield investments as the economy has started to recover and listed companies are still in good shape.

The President of the Stock Exchange of Thailand (SET), Mr. Kittiratt Na-Ranong, disclosed that there were many products worthy of investment in the Thai market. From all the listed companies on the SET, there are more than 50 companies posting dividend payout rates of more than 7%, which compares favorably with saving deposit rates at around 2%. Moreover, thirty-three listed companies demonstrated positive trends in their profit growth rates, which soared more than 100% at year-end 2001 compared to the previous year. Meanwhile, there are as many as forty-two listed companies for which the share prices at the end of 2001 also closed higher than 100% from that in 2000. These all reflect the growth in operational performance and an upward price movement for listed companies.

"It is an opportune time for investors in times of economy recovery like this, to deliberately select securities having profit potential or paying high dividends, especially as some securities are still undervalued. This is the right timing to invest in the Stock Market, and the SET is always eager to provide information on listed companies with potential," Mr. Kittiratt said.

When those listed companies with high earning growth rates in 2001 are compared to those in 2000, as many as ninety -four listed companies had more than 15% net profit growth. Out of these companies, there are nineteen companies having profit growth between 50-100%, and thirty-three companies having more than 100% growth. Siam Cement Plc posed a big leap in profits of 18,428.65%, with Ratchburi Electricity Generating Holdings Plc posing 2,015.84% growth, Food and Drinks Plc posing 761.78% growth, Nation Mulitimedia Group Plc posing 726.26% growth, and Amata Corporation Plc posing 622.60% growth. These show spectacular increases, there are many listed companies in the market with high profit growth worth exploring.

"Besides the remarkable rates of growth of listed companies' net profits, the SET Index in 2001, which reflected all stock prices, also improved by 12.88% from 2000. This upward adjustment showed that there are great opportunities for investors to gain from increased share prices. And, given the fact that the economy has started to recover, combined with the potential of listed companies, this is an auspicious time for investors to invest and be poised to receive higher gains in the future. This favorable period should not be missed," Mr. Kittiratt strongly suggested.