Yuanta Securities downgraded its recommendation on AEON Thana Sinsap (Thailand) Public Company Limited, or AEONTS, from "Buy" to "TRADING" and lowered its 2026 fair value to 106 baht, based on a PBV of 0.9x, implying upside of about 8.2%, with an expected dividend yield of 5.6%. It noted that the company faces pressure from provisioning on used-car hire-purchase loans and expects provisions to remain elevated for another two quarters. Yuanta expects net profit for 2Q26, to be reported on 7 October, at 652 million baht, down 17.6% year-on-year and down 17.8% quarter-on-quarter. Although non-interest income is expected to grow 8.8% quarter-on-quarter on gains from selling bad debt to AMCs, net interest income is expected to fall 1.6% quarter-on-quarter due to reduced lending for used-car hire-purchase. NIM is expected to hold steady at 17.3%, while provisions are expected to accelerate by 11.4% quarter-on-quarter, representing a credit cost of 8.7%, up from 7.6% in 1Q26, pushing total NPLs up to 5.8% from 5.6% in 1Q26. The research team therefore cut its net profit forecasts for 2026 and 2027 by 6.6% and 2.6%, respectively, expecting net profit of 2.973 billion baht in 2026, down 3.8% year-on-year, before returning to growth of 6.6% year-on-year in 2027.
AEON Thana Sinsap (Thailand) Public Company LimitedYuanta downgraded AEONTS to TRADING and cut its 2026 fair value to 106 baht, slashing 2026-27 profit forecasts on surging provisions.
