Elevator Pitch
Philippines-listed International Container Terminal Services, Inc (ICTEF) (ICTEY) [ICT:PM] trades at 22.6 times consensus forward FY2019 P/E based on its share price of PHP130 as of August 29, 2019. This represents a premium to the forward P/E multiples of Asian port operators.
The market has recognized the value of ICTS's portfolio of gateway terminals in high-growth emerging markets and its future growth drivers in the form of tariff hikes and new acquisitions. I suggest an entry price of PHP114.80 pegged to 20 times forward FY2019 P/E, capitalizing on any