{"id":327724,"date":"2024-05-03T01:32:39","date_gmt":"2024-05-02T17:32:39","guid":{"rendered":"https:\/\/www.pinoyinvestor.com\/smartinvestor\/?p=327724"},"modified":"2024-05-03T01:32:41","modified_gmt":"2024-05-02T17:32:41","slug":"stock-in-focus-international-container-terminal-services-inc-ict-3-may-2024-by-ap-securities","status":"publish","type":"post","link":"https:\/\/www.pinoyinvestor.com\/smartinvestor\/stock-in-focus-international-container-terminal-services-inc-ict-3-may-2024-by-ap-securities\/","title":{"rendered":"Stock in Focus: International Container Terminal Services Inc. (ICT) – 3 May 2024 by AP Securities"},"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>AP Securities<\/td><\/tr>
Opinion Issued on<\/strong><\/td>3 May 2024<\/td><\/tr>
Recommendation<\/strong><\/td>Hold<\/td><\/tr>
1-Year Target Price<\/strong><\/td>PHP 330.52<\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n
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Despite the health of ICT\u2019s finances and its prospects for growth, we remain a HOLD on the stock as the recent rally seems to have sufficiently priced in these factors and trimmed the potential upside to the consensus target price of P330.52 per share. As such, we recommend investors to take profits on ICT at these levels and just get back in at lower prices.<\/p>\n\n\n\n

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

Company expects 33.9% increase in capex<\/h3>\n\n\n\n

ICT is planning to spend $450-Million in capital expenditures this year, around 88% of which is earmarked to complete its expansion in Brazil, Mexico, D.R. Congo, Indonesia, and the Philippines. This year\u2019s capex includes $60-Million carried over from last year\u2019s capex of $336-Million. The company also said that it is actively looking for investments in emerging and frontier markets in Asia, Latin America, Africa, and the Middle East.<\/p>\n\n\n\n

Geo-diversification helps reduce risks<\/h3>\n\n\n\n

Despite the innate risks in ICT\u2019s focus on emerging and frontier markets, which include political, currency, and regulatory risks, the company plans to expand its portfolio further into more markets to mitigate these risks. Notably, ICT is exposed to conflict\/potential conflict areas in the Middle East (Basra Gateway Terminal, Iraq) and the Black Sea (Batumi ICT, Georgia), and also operates one port in China (Yantai ICT).<\/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>