We can see that the bottom-up country relative consensus recommendation is currently a maximum level “Buy” for the Philippines. The consensus EPS growth estimates have been stable over the last five years at about 11% on average. Learn more about how to benefit from our Watching the Street charts: http://becomeabetterinvestor.net/blog/how-to-benefit-from-our-watching-the-street-charts/

1. Presented by: Dr. Andrew Stotz, CFA 16 August 2016
Watching the Street:
Philippines

2. 28 July 2016 2
Companies with the most positive recommendations Companies with the most negative recommendations
Sources: A. Stotz Investment Research, Thomson Reuters
Note: For methodology explanation visit BecomeaBetterInvestor.net/blog/how-to-benefit-from-our-watching-the-street-charts/
Consensus recommendations in the Philippines have
trended upwards and the country is now a Buy in Asia
The two companies with the most positive
recommendations: FGEN is the number-three supplier
of electricity in the Philippines and PCOR is the largest
oil refining company in the country
JGS, DMC, AEV and LTG are all conglomerates
spanning over a large number of industries with their
investment companies
Philippines: Consensus recommendations
Bottom-up country relative consensus recommendation
Company name RIC code Sector
Mcap
(US$m)
3MADTO
(US$m)
First Gen FGEN.PS Utilities 2,230 1.7
Petron PCOR.PS Energy 2,247 1.6
Metro Pacific Investments MPI.PS Financials 4,386 4.9
Robinsons Land RLC.PS Financials 2,866 1.6
Megaworld MEG.PS Financials 3,548 4.0
Company name RIC code Sector
Mcap
(US$m)
3MADTO
(US$m)
JG Summit Holdings JGS.PS Industrials 12,982 6.5
DMCI Holdings DMC.PS Industrials 3,639 1.5
Aboitiz Power AP.PS Utilities 6,887 2.1
Aboitiz Equity Ventures AEV.PS Industrials 9,756 3.1
LT Group LTG.PS Industrials 3,642 1.4
Neutral
Neutral
Neutral Neutral
Buy
1
3
5
7
9
1
3
5
7
9
2012 2013 2014 2015 YTD16
Philippines
Buy
Sell

3. 28 July 2016 3
Companies with the highest consensus EPS growth estimates Companies with the lowest consensus EPS growth estimates
Sources: A. Stotz Investment Research, Thomson Reuters
Note: *Available 12 month forward EPS estimates. For methodology explanation visit BecomeaBetterInvestor.net/blog/how-to-benefit-from-our-watching-the-street-charts/
Consensus EPS growth estimates have been stable
over the past 5 years, on average 11%. However,
analysts were only fairly accurate in 2014
JFC owns the fast food brand Jollibee that has been
referred to as Asia’s McDonald’s, as well as being the
franchisee of international brands such as Burger King
TEL has faced tough competition in the mobile
segment and lost market share to Globe Telecom
(GLO.PS) in recent years
Philippines: Consensus earnings estimates
Consensus EPS growth estimates versus actual EPS growth
Company name RIC code Sector
Mcap
(US$m)
EPS g*
(%)
Jollibee Foods JFC.PS Cons. Disc. 5,757 42
Bank of the Philippine
Islands
BPI.PS Financials 8,173 24
LT Group LTG.PS Industrials 3,642 24
Universal Robina URC.PS Cons. Staples 9,252 23
SM Investments SM.PS Industrials 17,506 22
Company name RIC code Sector
Mcap
(US$m)
EPS g*
(%)
International Container
Terminal Services
ICT.PS Industrials 2,895 (22)
Phil. Long Distance Tel. TEL.PS Telecom 9,454 (13)
Cebu Air CEB.PS Industrials 1,287 (5)
Metro Pacific Investments MPI.PS Financials 4,386 (1)
Manila Electric MER.PS Utilities 7,593 0
12 12 10 11 11
(10)
-
10
20
2012 2013 2014 2015 2016
Actual EPS growth Consensus' estimate - 1yr fwd
(%, YoY)

4. 28 July 2016 4
Companies with the highest consensus target price expected return Companies with the lowest consensus target price expected return
Sources: A. Stotz Investment Research, Thomson Reuters
Note: *Actual return from March 2016 to year-to-date. For methodology explanation visit BecomeaBetterInvestor.net/blog/how-to-benefit-from-our-watching-the-street-charts/
Both the actual return and the estimated upside has
been rather volatile in the Philippines. Analysts were
only fairly accurate in 2013
ICT has the lowest EPS growth estimates, but among
the highest target price expected return. Analysts are
cautious on the outlook for the company’s ports in
South America, Australia and Congo
The companies with the lowest expected return have
all seen their share price go up by 20% or more YTD
Philippines: Consensus target price
Consensus target price expected return versus actual return
Company name RIC code Sector
Mcap
(US$m)
Up/Dn
(%)
Energy Development EDC.PS Utilities 2,365 23
International Container
Terminal Services
ICT.PS Industrials 2,895 23
First Gen FGEN.PS Utilities 2,230 20
Semirara Mining SCC.PS Energy 2,725 19
Petron PCOR.PS Energy 2,247 19
Company name RIC code Sector
Mcap
(US$m)
Up/Dn
(%)
Aboitiz Equity Ventures AEV.PS Industrials 9,756 (30)
SM Prime Holdings SMPH.PS Financials 18,471 (20)
JG Summit Holdings JGS.PS Industrials 12,982 (14)
Security Bank SECB.PS Financials 3,385 (13)
GT Capital Holdings GTCAP.PS Financials 5,840 (9)
(9)
(18)
6
(0)
5
(1)
(40)
(20)
-
20
40
60
2012 2013 2014 2015 2016* 12mth
fwdActual return Est upside
(%)

5. 6 May 201628 July 2016 5
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