The Del Rosario family’s Phinma Corp. (PHN) is launching a major township in Bacolod, boosting its property arm and related segments like steel and cement. AP Securities said this reinforces a “Buy” rating on the stock, noting significant upside potential.
The 21-hectare Bacolod township recently broke ground and includes a TRYP Hotel, commercial lots, and mid-rise residential buildings to be completed by December 2025.
It will ultimately feature 7.6 hectares of commercial space with 21 lots and 9.4 hectares of residential space with 227 lots.
“The project will not only add value to PHN’s property unit, but will also draw upon the strengths of its other units. As mentioned before, the township will host a TRYP hotel, and is also planned to host a Phinma Education school in the future,” Alfred Benjamin R. Garcia, head of research at AP Securities Inc., said in a note to investors.
Business synergy
“Most of all, the entire township can utilize materials from PHN’s construction materials group – cement from Union Cement, steel bars, roofing, and insulated panels from Union Galvasteel, and even solar panels from Union Solar,” he added.
Apart from property, Garcia underscored Phinma’s education network, with 146,000 students, and their acquisition of a cement plant in Zamboanga.
Buy rating
AP Securities rates PHN a buy with a price target of P31.88 per share, suggesting an upside of about 46 percent.
“At the moment, we view PHN as a conglomerate that’s firing on all cylinders, reinforcing our view of the company as one of only two conglomerates (the other being GT Capital) that still has significant value to be unlocked,” Garcia said.
Financial market recommendations and comments on InsiderPH News belong solely to the analysts and institutions making them. They do not represent buy, sell or hold recommendations of InsiderPH News. Investments held by analysts or institutions may influence their recommendations. Investors should conduct their own research and carefully evaluate all relevant market information before making investment decisions. As always, the past performance of any investment does not guarantee its price appreciation in the future.
Miguel R. Camus has been a reporter covering various domestic business topics since 2009.
