{"id":330122,"date":"2024-10-29T01:33:09","date_gmt":"2024-10-28T17:33:09","guid":{"rendered":"https:\/\/www.pinoyinvestor.com\/smartinvestor\/?p=330122"},"modified":"2024-10-29T01:33:13","modified_gmt":"2024-10-28T17:33:13","slug":"stock-in-focus-ayala-land-inc-ali-29-oct-2024-by-ap-securities","status":"publish","type":"post","link":"https:\/\/www.pinoyinvestor.com\/smartinvestor\/stock-in-focus-ayala-land-inc-ali-29-oct-2024-by-ap-securities\/","title":{"rendered":"Stock in Focus: Ayala Land, Inc. (ALI) – 29 Oct 2024 by AP Securities"},"content":{"rendered":"\n

Summary of Broker’s Recommendation<\/h2>\n\n\n\n
Stock Code<\/strong><\/td>ALI<\/td><\/tr>
Company Name<\/strong><\/td>Ayala Land, Inc.<\/td><\/tr>
Broker<\/strong><\/td>AP Securities<\/td><\/tr>
Opinion Issued on<\/strong><\/td>29 Oct 2024<\/td><\/tr>
Recommendation<\/strong><\/td>Buy<\/td><\/tr>
1-Year Target Price<\/strong><\/td>PHP 41.64<\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n
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Although ALI has led the run-up of property names as a result of expectations on further easing of the BSP\u2019s monetary policy, the current price drop presents a great opportunity to pick up the stock once more as upside is now currently adequate at 19.0% to our Target Price of P41.64.<\/p>\n\n\n\n

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

Hotels it is<\/strong><\/p>\n\n\n\n

ALI recently announced that they are currently in the process of launching a yet-undisclosed new hotel brand, further expanding the company\u2019s hospitality segment and putting ALI in a position to cater to upcoming traveler demand. This would take ALI one step closer to its goal of doubling their room count over the next 4 years to around 8,000 rooms from its current room count of 4,522. <\/p>\n\n\n\n

Hotels and Resorts account for only 5.9% of ALI\u2019s revenues as of 1H 2024, but we expect this number to be pushed higher in the second half fueled by increased spending during the holiday season. Given this, we forecast Hotel\u2019s revenue contribution to end up at 6.3% for 2024 and 6.5% by 2025.<\/p>\n\n\n\n

Traveler resurgence narrative has just begun<\/strong><\/p>\n\n\n\n

We have repeatedly mentioned our bullishness for the hospitality segment as a result of our expectations that tourist arrivals will pick up in the following years. Note that the DOT currently has a 7.7-Million tourist arrival target for the year which would translate to 93% of pre- pandemic levels, with full recovery projected by 2025. <\/p>\n\n\n\n

While Fitch has lower projected arrivals for the year at 6.6-Million which translates to a 32.6% YoY growth, their outlook for 2025 is in-line with DOT as well, projecting a reversion to pre-pandemic levels with a forecast of 8.3-Million tourist arrivals.<\/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>