UOB Kay Hian (Thailand) maintains a "Buy" rating on MOSHI, or Moshi Moshi, with a target price of 50.00 baht, based on a mid-2027 target price at a PE of 20 times, after MOSHI's management joined the Asian Gems Conference. Management's tone was neutral but still positive on the long-term outlook. The company aims to open 35 new branches per year, focusing on provincial markets, with at least 5 new standalone-format branches in major provincial cities. At the same time, MOSHI can raise its market share to 60.5% in 2025. On operating results, SSSG in the latest period grew 5-6% year on year, driven by effective marketing campaigns and growth in stationery sales, as well as the use of brand ambassadors such as Pond-Phuwin and Bookkin. However, gross margin in the third quarter of 2026 is likely to be pressured by the weaker baht and higher freight costs. The research team therefore expects net profit in the third quarter of 2026 to grow in the range of 10-15% year on year, compared with 21% year on year in the first half of 2026, before margins recover in the fourth quarter of 2026 on the back of a higher revenue share from products imported directly from China. The 2026 targets remain on plan, including revenue growth of 10-15%, year-on-year gross margin expansion, and the opening of 35 new branches. Meanwhile, the stock currently trades at a PE of 14.5 times, close to its historical low of about 14.0 times as of December 2025, which the research team views as an appropriate entry point.
Moshi Moshi Retail Corp. PCLUOB Kay Hian maintains Buy with 50 baht target, citing SSSG growth of 5-6% and attractive 14.5x PE near historical low as an entry point.
