- Delta Thailand is anticipated to benefit from the rising demand in the AI sector.
- Projected net income for Delta is 5.31 billion baht, with a revenue estimate of 44.5 billion baht and an EPS estimate of 0.40 baht.
- Globlex Securities advises buying with a price target of 125 baht, highlighting Delta’s unique exposure to the global AI industry.
- They believe Delta’s profit outlook has improved due to potential softening of US tariffs.
- Bualuang Securities suggests a sell with a price target of 90 baht, despite positive feedback from US clients, which form a significant part of sales.
- The company faced capacity limitations, especially in auto components, with use below 70%, contrasting with near 100% for data center parts.
- Bualuang forecasts second-quarter profits in the range of 5.2 billion to 5.3 billion baht, affected by foreign exchange variations and legal costs from a patent dispute.
- JPMorgan rates the company as overweight with a price target of 154 baht, citing strong growth prospects.
- JPMorgan predicts revenue to expand by 9% this year and by 18% next year, driven by demand for power solutions and ongoing AI-related expenses, with earnings growth forecasted at 23% CAGR from 2025 to 2027.
- Market consensus includes 3 buys, 2 holds, and 16 sells, with an average price target of 84.90 baht, reflecting a 40.4% downside from the current price.
- Delta’s shares have appreciated by 55.7% over the past year, contrasting with a 6.3% decline in the SET Index.
- The release of further information is expected on July 25.
Delta Electronics Thailand on Smartkarma
Analysts on Smartkarma have been closely monitoring Delta Electronics Thailand, particularly focusing on the impending changes in the SET50 Index. Brian Freitas highlights in his research that there will be four changes in the index, with implications for Delta Electronics Thailand. The capping changes for Delta are expected to result in significant passive selling in the stock.
Furthermore, Vincent Fernando, CFA, provides a comparison between Delta Electronics Thailand and Delta Electronics Taiwan, noting that the rally in Delta Thailand has created a valuation gap compared to Delta Taiwan. Despite recent price adjustments, Delta Thailand remains relatively expensive and overvalued. Vincent emphasizes that Delta Taiwan may offer a stronger and cheaper exposure to the group’s long-term growth themes.
A look at Delta Electronics Thailand Smart Scores
| Factor | Score | Magnitude |
|---|---|---|
| Value | 2 | |
| Dividend | 2 | |
| Growth | 5 | |
| Resilience | 4 | |
| Momentum | 5 | |
| OVERALL SMART SCORE | 3.6 |
Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma
Delta Electronics Thailand has a promising long-term outlook, according to the Smartkarma Smart Scores. With strong scores in Growth, Resilience, and Momentum, the company’s future prospects appear bright. The high Growth score indicates potential for expansion and development, while a robust Resilience score suggests the company’s ability to withstand market challenges. Additionally, a solid Momentum score reflects positive market sentiment and investor interest, contributing to a favorable outlook for Delta Electronics Thailand.
Delta Electronics Thailand, a company that designs and manufactures electronic equipment, particularly power systems for various industries, showcases a balanced performance across different factors. Although Value and Dividend scores are moderate, the company’s strengths in Growth, Resilience, and Momentum bode well for its overall outlook. As Delta Electronics Thailand continues to innovate and adapt to market demands, investors may find potential for long-term growth and stability in the company’s offerings.
Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
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