On March 25, the electronic parts sector saw remarkable gains, led by Delta Electronics (Thailand) Public Company Limited (SET: DELTA), whose share price surged by 9.85% or THB 26, closing at THB 290 with a total trading value of THB 10,143 million.
Hana Microelectronics Public Company Limited (SET: HANA), rose by 17.58% or THB 4.15, closing at THB 27.75 with a total trading value of THB 2,399 million. KCE Electronics Public Company Limited (SET: KCE), surged by 12.68% or THB 2.60, closing at THB 23.90 with a total trading value of THB 1,566 billion.
This increase was driven by improved sentiment in international technology stocks after investors’ concerns over the economic outlook and interest rates eased. Additionally, the weaker Thai baht was another important factor supporting exporters, especially companies with main income in US dollars, resulting in a forecast of improved profits.
Strong buying reflects investor expectations for the recovery of the global electronics industry, with positive signals from growing demand for technology products such as chips, semiconductors, and smart devices. This is especially evident in sectors like Data Centers, AI, and electric vehicles (EV), which remain key megatrends.
At the same time, if the Thai baht continues to depreciate, it will further enhance the price competitiveness of Thai firms in the global market and support gross margin rates in the next phase.
InnovestX Securities indicated that electronics stocks saw a meaningful increase, supported by expectations that international tensions have eased, combined with the depreciation of the baht, and positive investment sentiment following the technology stocks in South Korea and Taiwan, which rose around 2.2 – 2.7%.
The brokerage firm considered that electronic companies in Thailand are relatively less impacted by electricity and shipping costs, since electricity accounts for only around 1 – 5% of total costs, while shipping is about 1 – 3% of total revenue. Most companies in the sector use the FOB (Free On Board) contract format, where sellers are responsible for delivering goods to the port of origin, and once loaded onto the ship, expenses and risks thereafter fall to the buyers.
For investment recommendations, an “Outperform” rating is maintained for HANA with a target price of THB 25.50 and selected as the sector Top Pick, based on the view that New S-curve products, especially those related to AI, will be a major driver of earnings growth over the next 2–3 years.
For DELTA, the recommendation is “Neutral” with a target price of THB 220, although growth prospects from AI-related products remain, the current valuation is still rather high.
For KCE, the recommendation is “Underperform” with a target price of THB 14.30, as it continues to face cost pressures from raw materials, particularly gold and copper, although the weaker baht somewhat alleviates these effects.
An analyst from Kasikorn Securities stated that the operating results of electronics stocks, especially KCE (target price THB 25) and HANA (target price THB 25), will gradually improve from 1Q26 onwards, as these two stocks have already passed their lows in 4Q25.
DELTA’s performance (target price THB 270) will begin recovering from 2Q26, benefiting from the weaker baht while exports show continuous positive signs, despite unrest in the Middle East. The recommendation is to “Buy” after a price correction.
