{"id":325827,"date":"2023-11-23T13:59:37","date_gmt":"2023-11-23T05:59:37","guid":{"rendered":"https:\/\/www.pinoyinvestor.com\/smartinvestor\/?p=325827"},"modified":"2023-11-23T13:59:39","modified_gmt":"2023-11-23T05:59:39","slug":"stock-in-focus-international-container-terminal-services-inc-ict-23-nov-2023-by-regina-capital-development-corp","status":"publish","type":"post","link":"https:\/\/www.pinoyinvestor.com\/smartinvestor\/stock-in-focus-international-container-terminal-services-inc-ict-23-nov-2023-by-regina-capital-development-corp\/","title":{"rendered":"Stock in Focus: International Container Terminal Services Inc. (ICT) – 23 Nov 2023 by Regina Capital Development Corp."},"content":{"rendered":"\n

Summary of Broker’s Recommendation<\/h2>\n\n\n\n
Stock Code<\/strong><\/td>ICT<\/td><\/tr>
Company Name<\/strong><\/td>International Container Terminal Services Inc.<\/td><\/tr>
Broker<\/strong><\/td>Regina Capital Development Corp.<\/td><\/tr>
Opinion Issued on<\/strong><\/td>23 Nov 2023<\/td><\/tr>
Recommendation<\/strong><\/td>Buy<\/td><\/tr>
1-Year Target Price<\/strong><\/td>PHP 293.20<\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n
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We uphold our BUY recommendation, setting a fair value of P293.20 per share. The potential upside, calculated in relation to the prevailing market price, stands at +40%.<\/p>\n\n\n\n

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Analysis and Opinion<\/h2>\n\n\n\n

International Container Terminal Services, Inc. (ICT) logged a total of $170.74 million (up by +0.05%) in its 3Q 2023 attributable Net Income (NI) as the company sustained its revenue growth during the quarter. The given figure is the firm\u2019s ATH quarterly earnings. Meanwhile, topline inched up by +2.89% year-on-year (y\/y) to $612.22 million, driven mainly by the +3.15% y\/y growth of its port operations amounting $594.88 million.<\/p>\n\n\n\n

During the third quarter, the company has maintained to achieve substantial volume of TEUs, albeit flat at 3.18mn TEUs (+2% y\/y). Breaking this down, 1.60mn TEUs came from the Asian region, 951k TEUs from the American region, and 622k TEUs was from the EMEA. Y\/y, it is quite noticeable that the American region grew its share in ICT\u2019s volume mix to 30%, while both the Asia and EMEA lost -100bps or -1% to 50% and 20%, respectively.<\/p>\n\n\n\n

In 9M 2023, the firm has already utilized $234 million or 58% of their capex budget. Majority of this was allocated heavily in the firm\u2019s expansionary plans ($348 million), while 13% or $52mn was deployed for the maintenance costs. The management attributed the underspending to delayed invoicing. They anticipate utilizing approximately 85%-90% of the 2023 budget by year-end.<\/p>\n\n\n\n

The company’s current ratio showed an improvement, reaching a healthy level of 1.47x, attributed to the reduction of short and medium-term loans. In 2024, ICT envisions the commencement of its operations at DCT Pier 2 scheduled in April 2024. The management indicated that while growth remains stagnant at DCT, it is surpassing the performance of other ports in South Africa.<\/p>\n\n\n\n

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Check how many brokers recommend this stock<\/h2>\n\n\n\n
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All Stock Rankings<\/a><\/blockquote>