On Friday at 4:09 PM (Bangkok time), the share price of B.Grimm Power Public Company Limited (SET: BGRIM) rose by 6.88% or THB 1.30 to THB 20.20, with a trading value of THB 1.35 billion.
Gunkul Engineering Public Company Limited (SET: GUNKUL) surged 6.00% or THB 0.30 to THB 5.30, with a trading value of THB 1.04 billion.
BCPG Public Company Limited (SET: BCPG) advanced by 4.17% or THB 0.30 to THB 7.50, with a trading value of THB 217.72 million.
Global Power Synergy Public Company Limited (SET: GPSC) jumped by 4.81% or THB 2.50 to THB 54.50, with a trading value of THB 1.05 billion.
Gulf Development Public Company Limited (SET: GULF) gained 6.75% or THB 4.25 to THB 67.25, with a trading value of THB 15.94 billion.
CK Power Public Company Limited (SET: CKP) added 1.53% or THB 0.04 to THB 2.66, with a trading value of THB 100.55 million.
InnovestX Securities wrote that share prices in the Thai power plant sector have surged significantly, led by GULF, BGRIM, GPSC, GUNKUL, BCPG, and CKP. The market now has heightened expectations for the group, driven primarily by two main catalysts.
The first catalyst is the increasing investment by data center operators in Thailand, with clearer policy developments regarding electricity tariff rates for this sector. InnovestX notes that there is growing transparency in determining electricity prices for data centers.
According to the brokerage, the government aims to carefully screen potential data center investors, attracting only those with genuine investment intentions. This process will help ensure that the country can accurately assess and plan for future electricity demand.
Additionally, the current electricity rate for data centers, set between THB 5–6 per unit, has risen to levels comparable with regional peers such as Singapore and Malaysia. High electricity tariffs are expected to benefit power producers, as they will allow power plant operators to secure quotas for Direct Power Purchase Agreements, which offer the potential for better profit margins. However, the ultimate profitability will depend on the wheeling charge set by the government for the use of the national grid.
Moreover, InnovestX highlights the upcoming Power Development Plan 2026, which is expected to favor the domestic expansion of renewable energy generation. The brokerage believes that the new plan will allow power producers to increase domestic capacity, presenting a less risky alternative to overseas investments.
For the power plant sector, InnovestX maintains an ‘Overweight’ recommendation. The firm’s top pick remains GULF with a target price of THB 77.00, while GUNKUL is designated as the wildcard pick with a target price of THB 5.80.
InnovestX also maintains an ‘Outperform’ rating for GPSC (target price THB 62.00) and BGRIM (target price THB 21.00).
