As of 11:23 AM (Bangkok time) on Tuesday, the share price of Airports of Thailand Public Company Limited (SET: AOT) rose by 1.40% or THB 0.75 to THB 54.25, with a trading value of THB 743.35 million.
Thai Airways International Public Company Limited (SET: THAI) grew by 0.56% or THB 0.05 to THB 9.05, with a trading value of THB 217.97 million.
Asia Aviation Public Company Limited (SET: AAV) added 1.63% or THB 0.02 to THB 1.25, with a trading value of THB 31.80 million.
Shares of Thai airline and airport operators posted further gains following Monday’s rally, with stocks such as AOT, THAI, AAV, and BA advancing prominently. The surge was fueled by the onset of the peak tourism season, which has continued to drive a recovery in both domestic and international travel demand.
Investor sentiment was further supported by renewed confidence in the aviation sector. Market relief followed official reassurances that Thai airspace remains fully operational and flights are taking place as scheduled, easing concerns over the border situation with Cambodia and bolstering positive outlooks around the sector’s earnings potential.
Flight Activity Poised for Growth
Aeronautical Radio of Thailand (AEROTHAI) stated that flight volume for the 2026 fiscal year (October 2025–September 2026) is projected to reach 928,165 flights, a 3% increase from the previous year. This total includes 473,364 international, 343,422 domestic, and 111,379 overflight services, averaging 2,543 flights per day.
For the 2025 fiscal year (September 2024–October 2025), Thailand recorded a total of 904,796 flights, with noticeable increases in late 2025 driven by the winter schedule. December 2025 is expected to see 84,543 flights, while January 2026 is forecast to record 87,835 flights. During the year-end holidays from December 29, 2025, to January 7, 2026, flights are expected to total 27,632, or around 2,763 flights per day.
Strong Recovery in Chinese Tourism
The Thai-Chinese Tourism Alliance Association (TCTA) projected a marked resurgence for inbound Chinese tourism during the Lunar New Year in the first quarter of 2026 and estimated Chinese arrivals could reach 8 million throughout the year, almost doubling the roughly 4.1 million anticipated for 2025.
Key factors behind the surge include the Thai monarch’s historic official visit to China, which has strengthened bilateral ties and boosted traveler confidence, as well as the clear return of Chinese tour groups.
The period from February 17 to March 3, 2026, is expected to see a sharp increase in Chinese arrivals compared to the prior year, supported in part by Japan’s continued restrictions on Chinese tourists. Ongoing tension along the Thai-Cambodian border is seen as having a limited direct impact on tourism.
Six Airlines Cut Fares for New Year
The Civil Aviation Authority of Thailand (CAAT) held discussions with six carriers—Thai Airways (THAI); Bangkok Airways (BA); Thai AirAsia (AAV); Nok Air (NOK); Thai Lion Air (TLM); and Thai VietJet Air (VZ)—to coordinate plans to lower ticket prices and increase seat capacity during the upcoming New Year holidays from December 26, 2025 to January 4, 2026.
Key measures include a 30% reduction in ticket prices from the capped rate for 202 flights, totaling 36,320 seats, and the deployment of larger aircraft on 302 flights, adding 70,400 seats across both primary and secondary routes.
Additionally, Airports of Thailand (AOT) will offer a 30% discount on landing and parking charges for special holiday flights, as well as those participating in the fare reduction initiative.
Asia Plus Securities attributed the notable gains in airline and related stocks to a combination of key drivers, including the start of the tourism high season, increased projections for tourist arrivals—particularly from China—and ongoing government discussions to reduce airfares among six major airlines.
Additionally, a positive catalyst for AOT is its adjustment of Passenger Service Charges (PSC). These factors have fueled broad-based interest in stocks like AOT, THAI, AAV, and BA.
DAOL Securities (Thailand) upgraded its investment weight on the tourism sector to ‘Overweight,’ reflecting continued positive momentum from the peak tourism season and a recovery in Chinese arrivals.
Sector valuations have become more attractive, with the price-to-earnings (PER) ratio falling to 13x from around 20x in the previous quarter. The brokerage firm continues to highlight CENTEL and ERW as top picks for the tourism segment going forward.
