MON 21 JUN 2021

Top Stories:

MEG: MEG pipelines 21 office, commercial developments in 5 years

EMP: EMP looks to expand capacity for Tamnavulin (AS OF JUN 18, 2020)
INDICES

Close Points % YTD%

Other News: PSEi 6,851.38 -36.54 -0.53 -4.04
All Shares 4,166.90 -18.06 -0.43 -2.47
Financials 1,491.40 -16.01 -1.06 3.02
6,936.33 -13.40 -0.19 -5.69
Economy: 2021 BOP estimate raised on better economic landscape
Holding Firms
Industrial 9,364.03 79.81 0.86 -0.31
Mining & Oil 9,311.04 -48.12 -0.51 -2.28
Property 3,293.30 -67.41 -2.01 -10.13
Services 1,558.65 15.17 0.98 2.94

COVID-19 Update: Dow Jones 33,290.08 -533 -1.58 8.77

S&P 500 4,166.45 -55.41 -1.31 10.93
Total Cases Total Deaths Total Recoveries
Nasdaq 14,030.38 -130.97 -0.92 8.86

Philippines 1,359,015 (+5,803) 23,621 (+84) 1,277,715 (+7,652)

INDEX GAINERS
USA 34,405,933 (+4,354) 617,166 (+86) 28,711,315 (+16,472)
Ticker Company Price %
Worldwide 179,239,660 (+289,503) 3,881,445 (+5,788) 163,794,222 (+321,110) ICT Intl Container Term 160.00 4.58
GTCAP GT Capital Hldgs Inc 609.00 1.84
URC Universa Robian Corp 141.00 1.37
DMC DMCI Hldgs Inc 6.21 0.98
Market Summary: RLC Robinsons Land Corp 17.70 0.91

The local stock market fell on Friday as investors continue to digest the US Fed’s shift in INDEX LOSERS
Ticker Company Price %
policy stance. BDO BDO Unibank Inc 113.10 -2.84
LTG LT Group Inc 12.92 -2.71
SMPH SM Prime Hldgs Inc 36.00 -2.57
The PSEi declined by 36.54 points or 0.53% to close at 6,851.38. The main drags were MEG Megaworld Corporation 3.11 -2.51
BDO (-2.84%), LTG (-2.71%), SMPH (-2.57%), MEG (-2.51%), and SMC (-2.07%). On the SMC San Miguel Corp 113.70 -2.07

other hand, these were partially offset by gainers such as ICT (+4.58%), GTCAP (+1.84%),
URC (+1.37%), DMC (+0.98%), and RLC (+0.91%), TOP 5 MOST ACTIVE STOCKS
Ticker Company Turnover
SMPH SM Prime Hldgs Inc 979,022,100
Value turnover decreased to Php9.8Bil from the Php14.2Bil traded on Thursday. ALI Ayala Land Inc 955,969,800
Meanwhile, net foreign selling narrowed to Php856.8Mil from the Php5.2Bil registered in BDO BDO Unibank Inc 798,656,400
ICT Intl Container Term 608,244,000
the previous session. SM SM Investments Corp 542,152,600

Disclaimer: All content provided in COL Reports are meant to be read in the COL Financial website. Accuracy and completeness of content cannot be guaranteed if reports are viewed outside of the
COL Financial website as these may be subject to tampering or unauthorized alterations.
 DAILY NOTES I PHILIPPINE EQUITY RESEARCH

MON 21 JUN 2021

Top Stories:

Richard Laneda, CFA

MEG: MEG pipelines 21 office, commercial
Senior Research Manager
developments in 5 years
Megaworld Corporation
BUY MEG announced that they are targeting to complete 21 new office and commercial
Php4.00 projects in the next 5 years across 11 townships in the country. Out of the 21 projects,
15 are office developments, which will rise in Uptown Bonifacio and McKinley West in
Taguig City, Arcovia City in Pasig City, and Iloilo Business Park in Iloilo City among others.
Meanwhile, commercial projects in the pipeline are 5 lifestyle malls in The Upper East and
Northill Gateway in Bacolod, Capital Town in Pampanga, Maple Grove in Cavite Highland
City in Rizal, and one hotel in The Mactan Newtown. MEG Chief Strategy Officer Kevin
Tan said that these projects would spruce up the company’s new townships and further
expand their rental income portfolio. (source: Philstar)

Justin Richmond Cheng, CFA EMP: EMP looks to expand capacity for Tamnavulin
Senior Research Analyst
EMP is looking to expand production capacity for its single-malt whisky brand, Tamnavulin,
Emperador Inc. after seeing increased demand for this product. The Tamnavulin brand has seen strong
HOLD sales growth and is now included in the Top 25 Single Malt Brands. Hence, management
Php9.50 intends to increase the facilities producing Tamnavulin, adding a production facility in
Scotland. Note that Tamnavulin is benefitting from increased popularity in China and
Taiwan, among others. (Source: BusinessWorld)

Other News:

Research Analysts Economy: 2021 BOP estimate raised on better economic

landscape
John Martin Luciano, CFA
Frances Rolfa Nicolas The BSP raised its balance of payment (BOP) projection for 2021 on expectations of an
Justin Richmond Cheng improved economic landscape here and overseas. The central bank now expects the
Adrian Alexander Yu BOP position to post a US$7.1Bil surplus by year-end, lower vs US$16Bil surplus last
Kerwin Malcolm Chan year but higher than the US$6.2Bil surplus projection made in March. The better-than-
expected global economic outlook for the year is driven by upward revisions in the
growth prospects of major advanced economies such as the US and Japan, the country’s
major trading partners. On the domestic front, the government’s support to stimulate
recovery along with efforts of both the public and private sectors to accelerate the rollout
of COVID-19 vaccines are expected to boost market confidence and encourage further
expansion of domestic economic activities over the near term. Meanwhile, the central
bank expects the BOP position to decline to a US$2.7Bil surplus next year, driven mainly
by the anticipated narrower current account surplus of US$6.7Bil. This is lower than the
US$3.8Bil surplus estimate given in March. (Source: Businessworld, BSP)

COL Financial Group, Inc. 2

 DAILY NOTES I PHILIPPINE EQUITY RESEARCH

MON 21 JUN 2021

I M P O R TA N T R AT ING DEFINITIONS
BUY
Stocks that have a BUY rating have attractive fundamentals and valuations based on our analysis. We expect the share price to outperform the market in the
next six to 12 months.

HOLD
Stocks that have a HOLD rating have either 1) attractive fundamentals but expensive valuations 2) attractive valuations but near-term earnings outlook might
be poor or vulnerable to numerous risks. Given the said factors, the share price of the stock may perform merely in line or underperform in the market in the
next six to twelve months.

SELL
We dislike both the valuations and fundamentals of stocks with a SELL rating. We expect the share price to underperform in the next six to12 months.

I M P O R TA N T DISC L AIM ER
Securities recommended, offered or sold by COL Financial Group, Inc. are subject to investment risks, including the possible loss of the principal amount invested.
Although information has been obtained from and is based upon sources we believe to be reliable, we do not guarantee its accuracy and said information may
be incomplete or condensed. All opinions and estimates constitute the judgment of COL’s Equity Research Department as of the date of the report and are
subject to change without prior notice. This report is for informational purposes only and is not intended as an offer or solicitation for the purchase or sale of
a security. COL Financial and/or its employees not involved in the preparation of this report may have investments in securities of derivatives of the companies
mentioned in this report and may trade them in ways different from those discussed in this report.

CO L R E S EAR C H T EAM

APRIL LYNN TAN, CFA

CHIEF EQUITY STRATEGIST
april.tan@colfinancial.com

CHARLES WILLIAM ANG, CFA GEORGE CHING RICHARD LAÑEDA, CFA

HEAD OF RESEARCH SENIOR RESEARCH MANAGER SENIOR RESEARCH MANAGER
charles.ang@colfinancial.com george.ching@colfinancial.com richard.laneda@colfinancial.com

JOHN MARTIN LUCIANO, CFA FRANCES ROLFA NICOLAS JUSTIN RICHMOND CHENG, CFA
SENIOR RESEARCH ANALYST RESEARCH ANALYST SENIOR RESEARCH ANALYST
john.luciano@colfinancial.com rolfa.nicolas@colfinancial.com justin.cheng@colfinancial.com

ADRIAN ALEXANDER YU KERWIN MALCOLM CHAN

SENIOR RESEARCH ANALYST RESEARCH ANALYST
adrian.yu@colfinancial.com kerwin.chan@colfinancial.com

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