July 18 (Bloomberg) -- Airports of Thailand Pcl, the nation’s largest airport operator, advanced to a record in Bangkok share trading after passenger numbers jumped.
The shares climbed 6.7 percent to 190 baht at 12:15 p.m. local time. The stock was the biggest percentage gainer in the 820-member MSCI Emerging Markets Index, which dropped 0.2 percent. The benchmark SET Index jumped 1.5 percent, heading for the highest close since June 10.
Total passengers at the state-controlled company’s six facilities rose 19.5 percent last month from a year earlier to 6.54 million, according to data released on its website. The stock also gained after Kao Hoon newspaper reported the company will consider a 1-for-10 stock split to boost liquidity after the jump. Chairman Sita Divari said today he is unaware of a plan to split the stock, which has surged 96 percent this year.
“Airports of Thailand’s earnings will be spectacular this year because of surging passengers at its airports,” Siam Tiyanont, an analyst at Phillip Securities (Thailand) Pcl, said by phone today. “The report on a stock split also contributed to the jump as it made individual investors optimistic about the stock’s affordability.”
The company’s main focus is on accelerating the expansion of the country’s main Suvarnabhumi international airport in Bangkok to cope with surging passenger numbers, Sita said.
Airports of Thailand plans to increase the capacity of Suvarnabhumi to 60 million passengers from 45 million now, Acting President Pongsak Semson said yesterday. The expansion will be completed in 2016, he said.
The stock is valued at 26.7 times reported earnings, the most expensive since March 2012, compared with the benchmark index’s 17 times, data compiled by Bloomberg show.
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