Phillip Securities (Thailand) has issued an "outperform" rating on the electronics sector, selecting DELTA as its Top Pick for the third quarter of 2026, citing its share price lagging the sector and its strongest exposure to the AI theme. KCE and HANA stand to benefit from higher PCB selling prices and their expansion into High Density PCBA and Power Management. First-half sector profit came in at 16 billion baht, up 46.2% year on year, with growth spread across nearly every company, and the bulk of the profit came from DELTA, which benefited from greater recognition of revenue tied to AI and data centers than a year earlier. Other companies showed a picture of revenue recovering more strongly in the second quarter of 2026. For the third-quarter 2026 outlook, DELTA's profit is expected to rise quarter on quarter on higher AI product shipments, helped by a low base in the second quarter of 2026. In the U.S. stock market, investors are watching the CPU stock theme after GPT-6 Astra shifted fully into Agentic AI competition, forcing the CPU-to-GPU ratio up to 1:1, which supports the appeal of INTC and AMD. Cybersecurity names such as CRWD and PANW are also looking more attractive amid the push to enforce rules governing AI usage.
JPMorgan Backs Victory Giant's $2.6 Billion Hong Kong AI Listing as Shares Fall 3.8%
JPMorgan Chase backed Victory Giant Technology's roughly $2.6 billion Hong Kong share sale, a deal tied to China's AI computing buildout, and its shares fell about 3.8% to $338.65. Victory Giant manufactures printed circuit boards that connect hardware inside AI servers, and the offering documents list J.P. Morgan Securities among the participating banks. JPMorgan told Reuters that its geopolitical business decisions remain subject to legal, regulatory and risk-management controls. The $2.6 billion offering is not JPMorgan revenue, and its allocation and fees were not disclosed. JPMorgan's share price sits 10.08% above its $307.64 GF Value estimate, a premium that leaves less room for disappointment.
BLS raises mid-2027 SET target to 1,710 points, highlights TDF dividend-stock strategy
Bualuang Securities, or BLS, says Thai listed-company earnings are recovering well and has raised its SET target range for mid-2027 to 1,650 points in the base case, with the best case lifted to 1,710 points, citing the CROSS ASSET STRATEGY report from BLS Wealth Research dated September 2026. Second-quarter 2026 results for Thai listed companies also sent positive signals, with overall profit growing both year on year and quarter on quarter and mostly beating analyst expectations. Core net profit in the third quarter is expected to keep expanding strongly year on year, supported by cyclicals and energy on a steadier improvement in Singapore GRM refining margins, by electronic components and PCB makers benefiting from global data center and AI infrastructure demand, and by the tourism recovery reflected in RevPar revenue. The Private Fund Auto Investing team at Bualuang Securities recommends a Defensive Value approach focused on high-dividend stocks with a consistent payout history and strong cash flow, using a rule-based automatic portfolio system to rebalance weights every month. The Thai Dividend Focus strategy, or TDF, selects quality dividend stocks from the SETHD index whose price performance stands out from the market, spreading investment across an average of 10 to 15 companies. Over roughly the past year, the TDF portfolio delivered a total return of as much as 39.60%, according to BLS Private Fund Auto Investing data for the period from August 21, 2025 to August 31, 2026. Investors interested can invest through the Wealth Connex app under the Auto Investing menu, Thai Dividend Focus (TDF) section, where a promotion cuts the minimum investment to 500,000 baht from 1 million baht through December 31, 2026.
Brokers recommend trading individual electronics stocks, highlighting DELTA and SMT as key beneficiaries of AI tailwinds
Analysts recommend an investment strategy of trading individual electronics stocks around earnings cycles, highlighting DELTA and SMT as standout plays benefiting from AI and data center technology. Nattapon Kamthakrua, Assistant Managing Director of the Investment Analysis Department at Yuan Ta Securities (Thailand) Company Limited, told Than Hoon that the electronics sector is a group with outstanding profit growth in the Thai stock market, with all five companies under coverage having forward orders spanning roughly one to two production cycles, and he expects the group's third-quarter 2026 results to grow continuously both quarter-on-quarter and year-on-year. DELTA stands out in cooling systems and power-related components, while KCE is expanding into humanoid technology and HANA is focusing on solid state cooling technology for data centers. SMT stands out for its ample remaining production capacity and its chance to swing back to profit after a loss in 2025. However, the P/E of electronics stocks is higher than the SET average of about 15 to 16 times, with DELTA trading at roughly 60 times 2027 earnings, KCE at about 50 times, and SMT at around 19 times. The analysts therefore recommend speculative buying of DELTA, KCE, CCET, and HANA, and a buy on SMT. Meanwhile, Sureeporn Teewasuwet, Assistant Managing Director of the Securities Analysis Department at Finansia Syrus Securities Public Company Limited, told Than Hoon that demand from the AI and data center groups has come in very strong, pushing prices of components, chips, memory, and PCBs higher, and this is expected to benefit the operating results of the three electronics companies under coverage from the third quarter of 2026 through the first half of 2027. DELTA is expected to begin recovering in the third quarter of 2026 both quarter-on-quarter and year-on-year, with a chance of setting a new record high in the fourth quarter of 2026, with a target price of 290 baht. KCE is expected to benefit from a roughly 10% increase in printed circuit board selling prices, fully recognized for a full quarter, with a target price of 61 baht, while HANA has a target price of 53 baht. She also warned investors to watch the risk of more new supply entering the market in the second half of 2027, which if it balances with demand would pressure prices of components, chips, memory, and PCBs downward and drag the electronics group's operating results into a correction in 2028 before returning to a normal growth cycle in 2029.
Hana Microelectronics Public Company Limited
KCE Electronics Public Company Limited
Intel Corporation
Advanced Micro Devices Inc
Crowdstrike Holdings Inc
Palo Alto Networks Inc
Delta Electronics (Thailand) Public Company Limited