Electricity Generating Public Company Limited

Krungsri Securities issued an analysis of power plant stocks after two power plant M&A deals were announced. GULF acquired a 50% stake in GUNKUL's renewable energy projects totaling 337 MWe for an investment of 467 million baht, while EGCO invested 49% in Pinnacle IV, a 166 MWe project from APEX, with an expected investment of about 4.3 billion baht. Both transactions were completed on September 25, 2026, and full quarterly profit sharing is expected to be recognized starting from the fourth quarter of 2026 onward. Krungsri's research team views the GULF-GUNKUL deal as Slightly Positive for both companies. GULF's projects are not yet included in estimates, and the deal is expected to add about 450 to 500 million baht in profit after all projects reach commercial operation date in 2030 onward, adding about 0.33 baht per share to the target price. For GUNKUL, the projects in which it sold a 50% stake and which have implications for estimates consist only of 88 MWe of solar, resulting in a slight profit reduction of only about 100 million baht after 2030 and a target price reduction of 0.1 baht per share. As for EGCO's acquisition of Pinnacle IV, the initial view is Positive, with an expected additional profit of about 250 to 300 million baht per year and an increase of 5 baht per share in the target price, reflecting EGCO's return to more aggressive investment following its acquisition of the AE II natural gas power plant in the United States on September 21, 2026, which is also not yet included in estimates. The investment strategy maintains a Bullish recommendation on the power plant group on the long-term theme of benefiting from Data Center investment, with GULF and GPSC remaining Top Picks. The group's current target prices do not yet include upside from the latest round of renewable energy project M&A or the PDP2026 plan.

Tisco Securities said in a research note that Electricity Generating Public Company Limited, or EGCO, has announced the acquisition of a 49% stake in the Pinnacle IV Portfolio from Apex, a renewable energy portfolio in the United States, which will help boost EGCO's profit by approximately 330 million baht per year, or about 4.7% of its estimated 2027 profit. The Pinnacle IV Portfolio comprises two projects: Timbermill, a 189-megawatt wind power plant in North Carolina, and Coldwater, a 150-megawatt solar power plant in Michigan. After the transaction is completed, EGCO will hold a direct 49% stake in the portfolio, in addition to an indirect 8.9% stake through its 17.5% holding in Apex. Tisco estimates the investment value for this 49% stake at approximately 3.7 billion baht, or about 110 million US dollars, based on the value of the Pinnacle II Portfolio acquired in 2025 and assumptions of 0.9 million US dollars per megawatt for wind power plants and 0.4 million US dollars per megawatt for solar power plants. EGCO has not yet disclosed the transaction value or its estimated impact on profit. Tisco estimates that this investment will yield an equity IRR of about 8% and add only about 1.2 baht per share to NAV, or roughly 1% of fair value. It maintains a buy recommendation on EGCO with a fair value of 144 baht per share using a DCF valuation method.

Today's top picks are led by GULF, which newspapers report is making an aggressive move by joining forces with GUNKUL to invest 466.5 million baht for 50% stakes in 12 solar and wind farm projects with a combined generating capacity of 673.4 megawatts, with power supply set to begin in 2570, securing long-term revenue from fixed power purchase agreements. Solar Farm rates range from 2.1579 to 2.1679 baht per kilowatt-hour, Solar BESS at 2.8331 baht, and wind power at 3.1014 baht. Meanwhile, GUNKUL is bringing GULF in as a joint venture partner to strengthen liquidity and expand financial headroom, supporting investment opportunities under the PDP 2026 plan, while accelerating the expansion of its clean energy portfolio to 3,000 megawatts by 2573. On another front, EGCO has closed a deal to advance its clean energy game in the United States, acquiring 49% of Pinnacle IV, with a generating capacity of 339 megawatts from two operational wind and solar power plants, pushing its renewable energy portfolio up to 1,785 megawatts, or 26% of total generating capacity. Brokerages estimate the new projects will boost profits by 6 to 8% and give an average target price of 145.67 baht. As for AOT, it reports that Suvarnabhumi saw flights surge to 347,000 in 11 months, with passengers reaching 59.6 million, and is accelerating a 152 billion baht investment plan for a major upgrade of Suvarnabhumi, with 12 billion baht to drive the East Expansion to raise passenger capacity to 70 million per year, along with a 120 billion baht South Terminal plan and infrastructure including a fourth runway at another 20 billion baht. The average target price is 71.50 baht, with a high of 85.00 baht.

Electricity Generating Public Company Limited, or EGCO, is pressing ahead with its investment in the Pinnacle IV Portfolio, two renewable energy projects in the United States with a combined generating capacity of 339 megawatts, through its subsidiary EGCO Pinnacle IV, LLC, in which it holds a 49% stake. The Pinnacle IV Portfolio comprises Timbermill Wind, LLC, a 189-megawatt wind power plant in North Carolina, and Coldwater River Solar, LLC, a 150-megawatt solar power plant in Michigan. Both projects are now in commercial operation, allowing EGCO to immediately recognise revenue and profit in proportion to its shareholding. This investment strengthens EGCO's renewable energy portfolio, lifting it to 1,785 megawatts, or 26% of total generating capacity. Previously, EGCO also invested in the Yunlin offshore wind power project, holding a 26.56% stake with a total capacity of 640 megawatts, which began generating and supplying electricity to the grid on 30 January 2025. It also signed a new power purchase agreement with a capacity of 400 megawatts and a 15-year contract term for the Quezon power plant in the Philippines, and acquired a 49% stake in two renewable energy power plant groups in the United States with a combined generating capacity of 251 megawatts through its subsidiary EGCO Pinnacle II, LLC, together with partner Apex Pinnacle II Member, LLC.

Bualuang Securities released an analysis stating that the development of Thailand's smart grid is nearing a turning point, moving from a phase focused on long-term roadmaps toward rule-setting, pilot project implementation, and greater private-sector participation. The medium-term smart grid drive plan for 2022-2031 comprises 5 pillars: Demand Response and Energy Management Systems, or DR & EMS, which accounts for roughly 30% of the budget; Renewable Energy Forecasting, or RE Forecasting, about 10%; Microgrid and Prosumer, about 20%; Energy Storage Systems, or ESS, about 25%; and EV Integration, about 15%. The analysis states that stocks that could benefit under the DR & EMS pillar include SKY, PIS, FORTH, PCC and ALT, while the RE Forecasting pillar includes TKC and SAMART. The Microgrid & Prosumer pillar includes BGRIM, the ESS pillar includes EA, GPSC, GULF and EGCO, and the EV Integration pillar includes FORTH and EA. Bualuang Securities takes the view that heavy investment in ESS and Microgrid should not be rushed from the early stage, because committing large amounts of capital to batteries, hardware and EPC work before pricing mechanisms and service markets are clear carries the risk of assets being underutilized. Meanwhile, DR/EMS forecasting and EV Integration require less capital and open up opportunities to generate revenue from platforms, service fees and recurring income.

Yuanta Securities (Thailand) recommends buying shares of Electricity Generating Public Company Limited, or EGCO, with a target price of 187 baht. It expects normal profit for the third quarter of 2026 to grow both from the previous quarter and compared with the same period last year, driven by seasonal factors from hydropower projects in Laos, natural gas power plants in the United States, the full-quarter recognition of higher capacity payments in the United States, and the return to normal operation of the QPL power plant. The research team has a positive view on the investment in the AE II natural gas power plant in the United States, with a capacity of 277 MWe, which has a long-term contract with NYPA through 2031. The transaction is expected to be completed between the fourth quarter of 2026 and the first quarter of 2027 and to add approximately 400 million baht in profit per year. However, Yuanta has cut its 2026 forecast for EGCO to 3.337 billion baht to reflect lower-than-expected profit contributions from the Yunlin wind project and the Paju ES power plant, while maintaining its 2027 forecast at 4.623 billion baht. Although EGCO is selling the BPL and KLU power plants, the research team expects this to be offset by AE II. The research team believes EGCO's share price has room to recover in line with earnings that have already passed their lowest point in the second quarter of 2026, and it expects a second-half 2026 dividend of 3.25 baht, representing a dividend yield of 2.5%, which helps limit downside. There is also potential for investment under the PDP2026 plan.

Yuanta Securities said that Electricity Generating Public Company Limited, or EGCO, has acquired a 45% stake in the Astoria Energy II power plant, or AE II, a 615MW facility representing 277MWe, or roughly a 4% increase from its current capacity of 6,946MWe, in New York, United States. The plant has been commercially operational since 2011 and holds a long-term power purchase agreement with NYPA that expires in 2031. The transaction is expected to close within the fourth quarter of 2026 to the first quarter of 2027, with profit sharing beginning to be recognized from 2027 onward. Initially, an incremental profit of about 400 million baht per year is expected. The analyst team cut its 2026 normalized profit forecast by 18% to 3,337 million baht, down 25% year on year, due to lower-than-expected profit contributions from the Yunlin wind project in Taiwan and the Paju ES natural gas power plant in South Korea. However, including extraordinary gains from the sale of the BPU and KLU projects, net profit would come in at 4,337 million baht. It maintained its 2027 normalized profit forecast at 4,623 million baht, up 39% year on year, and kept its end-2027 fair value at 187.00 baht per share with a Buy recommendation, implying 42.7% upside, and expects a second-half 2026 dividend of 3.25 baht per share, representing a dividend yield of 2.5%.

Finansia Securities has upgraded EGCO to Buy and raised its target price to 150 baht from 135 baht, based on a DCF valuation at a 5% WACC. The new target price includes potential upside from a 300MW data centre project in the Rayong industrial estate, which is estimated to add about 3 baht per share to EGCO's value, and from the renewal of PPAs totalling roughly 1GW, which if renewed would add about 10 baht per share. The assets that could benefit are EGCO's Rayong power plant, whose PPA has already expired but which still has about 10 to 15 years of useful life remaining, and the Khanom power plant, whose PPA will expire in another two years. In addition, EGCO announced the acquisition of a 45% stake in Astoria Energy II, or AE II, a 615MW CCGT power plant in New York, which has a 20-year tolling agreement with NYPA expiring in June 2031. EGCO is maintaining its 2026 capex target of about 30 billion baht and is pressing ahead with its Net Zero 2050 goal while seeking new growth opportunities, including developing power generation capacity to serve data centres in the Rayong industrial estate, co-investing in data centre projects, and investing in small modular reactor, or SMR, power plants.

Asia Plus Securities says power plant stocks have regained investor attention on three main drivers. The first is a fresh wave of data center investment, with Prime Minister Anutin scheduled to meet Google executives on September 23, 2026 to discuss digital, technology and AI issues as well as digital infrastructure development. Google plans to invest 1 billion US dollars to develop data centers and cloud in Thailand, reflecting long-term growth in electricity demand from the digital economy. The second driver is the continued decline in crude oil prices, with Dubai and Brent falling about 3% and 8% over the past five trading days to around 115 and 100 dollars per barrel respectively, which could pass through to power plants' gas costs going forward. The third driver is the baht, recently around 33.45 baht per dollar, stronger than around 34.0 baht per dollar in July, supporting companies with high debt burdens and large overseas investment. The research team has a positive view on the power sector. GULF currently has 25 MW of data centers already commercialized, with another 38 MW under development and a further 100 MW expansion planned. BGRIM is building 48 MW in its first phase, expected to gradually come online from the fourth quarter of 2026. Falling oil prices are expected to be a short-term sentiment positive for BGRIM and GPSC, which sell roughly 20 to 35% of electricity revenue to industrial customers, while baht strength helps reduce USD-denominated debt, especially for EGCO, which has roughly 50 to 60% of its loans in USD, versus around 15% for GULF and BGRIM. On investment strategy, the firm recommends a selective buy, picking GULF with a fair value of 80 billion baht as a large-cap that benefits from fund inflows and the data center theme, while BGRIM, with a fair value of 22 billion baht, benefits from margin recovery amid falling oil prices, and GPSC, with a fair value of 56 billion baht, can still be traded on sector sentiment.

Shares of B.Grimm Power Public Company Limited, or BGRIM, rose 3.14% to 19.70 baht, up 0.60 baht, touching an intraday high of 20.00 baht on turnover of 630.73 million baht. Asia Plus Securities expects margins to recover in the third quarter of 2026 as oil prices decline, and sees the power sector regaining investor interest on three main drivers: a fresh wave of data center investment, crude oil prices that continue to fall and could feed through to power plants' gas costs, and the baht's appreciation to around 33.45 baht per dollar from roughly 34.0 baht per dollar in July. The research team set a target price of 22 baht for BGRIM, 80 baht for GULF and 56 baht for GPSC, noting that GULF currently has 25 megawatts of data center capacity already commercially operational, another 38 megawatts under development and plans to add a further 100 megawatts in the next phase. BGRIM, meanwhile, is building 48 megawatts in its Phase and expects gradual commercial operation starting in the fourth quarter of 2026. The baht's strength also reduces the value of US dollar debt, particularly at EGCO, where dollar-denominated loans make up roughly 50 to 60% of borrowings, while GULF and BGRIM are at around 15%.

Fitch Ratings has revised Thailand's credit rating outlook from Negative to Stable while affirming the rating at BBB+, an investment grade level. As a result, bank stocks rose across the board at 3:00 p.m., led by KBANK up 2.77% to 260.00 baht on trading value of 3.83 billion baht, followed by BAY up 2.61% to 39.25 baht, SCB up 2.30% to 156.00 baht, CREDIT up 1.32% to 23.00 baht, BBL up 1.29% to 196.00 baht, KTB up 1.11% to 45.50 baht, and TISCO up 0.39% to 128.00 baht. TISCO Securities noted four main reasons behind the outlook upgrade: reduced political risk following the election and the formation of a stable government, continuity of economic policy, an improving public debt outlook expected to hold below 63% of GDP in fiscal year 2028, better-than-expected GDP growth driven by investment in AI and data centers, and a strong external position supported by expectations of a return to a current account surplus of 1.5% next year. Based on a study of market movements after Moody's last upgraded Thailand's outlook on April 21 this year, bank stocks delivered positive returns and outperformed the SET across all timeframes, with SETBANK at +1.16%, +1.22%, +4.56%, and +28.56% versus the SET at -0.11%, +0.56%, +3.43%, and +11.55% respectively. The recommended strategic stocks are KBANK with a base target of 290 baht, KTB at 50 baht, and TTB at 3.3 baht. Meanwhile, the yield on 10-year Thai government bonds fell from 2.38% to 2.26%, a decline of 12 basis points, which is positive for interest-rate-sensitive stocks. Preferred picks are MTC at 55 baht, TIDLOR at 25 baht, and power plant stocks such as GULF at 82 baht and EGCO at 144 baht.

Electricity Generating Public Company Limited, or EGCO, has acquired a 45.0549% stake in Astoria Energy II LLC, or AE II, a 615-megawatt combined-cycle power plant fuelled by natural gas, located in Queens, New York. The plant began commercial operation in July 2011, selling electricity to support the stability of the New York Power Authority, NYPA, which is wholly owned by the state of New York. Research analysts at Land and Houses Securities estimate the deal will add roughly 8-10% to EGCO's earnings next year. AE II's strengths include its strategic location and revenue that carries no price risk under a Tolling Agreement with NYPA, giving it steady cash flow that does not fluctuate with fuel prices, and it is the newest and most efficient power plant in New York's Zone J. However, the research team maintained only a "hold" recommendation, as the stock's upside is limited relative to its target price of 135 baht, while the dividend yield stands at 5% and rising bond yields have narrowed the yield gap. In afternoon trading, EGCO shares were at 132 baht, up 3.00 baht or 2.33%, with turnover of 181.92 million baht.

Today's stocks to watch span several key developments. Bangchak, or BCP, is changing its top leadership for the first time in 12 years, after the board unanimously resolved to appoint Bundit Hansapaiboon as the new CEO, succeeding Chaiwat Kovavisarach, whose term has ended, effective January 1, 2027, after more than a decade at the helm. The stock fell nearly 3% on concerns over the leadership change. Meanwhile, BCPG clarified the case in which the Department of Special Investigation requested information on its investment in the Phetchaburi oil depot and jetty project, confirming it is ready to cooperate fully and that there has been no conclusion or ruling from the relevant agencies. Central announced a new investment plan in Vietnam totaling 3.5 billion US dollars, covering retail, real estate, and hotels, split into 1.5 billion dollars for CRC to expand roughly 50 stores over three to five years, and another 2 billion dollars for CPN, after seeing substantial room for economic and purchasing-power growth. EGCO is pushing into the United States, acquiring a large 615-megawatt natural gas power plant in central New York under a tolling agreement that locks in long-term cash flow and captures electricity demand from AI and data centers. SPALI declared that Thai real estate has passed its bottom, and it will launch 19 new projects worth a combined 22.66 billion baht in the second half, with brokers saying profits have reached a turning point, raising this year's profit forecast by 10%, highlighting a 7.7% dividend yield, and setting a buy rating with a 21 baht target price.

CGSI, or CGS International Securities Thailand, estimates the SET Index range today at 1,575-1,595 points, with the market likely to swing in a narrow band after the 10-year US government bond yield surged past 5%, pressuring fund flows and risk assets worldwide. Meanwhile, crude oil prices remain above 100 dollars per barrel even after easing from their peak, still a factor weighing on the inflation outlook and global interest rate direction. Factors to watch this week include the Trump-Xi Summit on September 24, trade tariff issues and US-China relations, the situation in the Strait of Hormuz and oil price direction, as well as regulatory and safety risks surrounding AI technology. For recommended stocks, CGSI stated that EGCO has indirectly acquired a 45.1% stake in Astoria Energy II, a 615-megawatt natural gas-fired power plant in New York State, United States, expected to add to EGCO's profit from the first quarter of 2027 onward, and it raised its earnings forecasts for 2027 to 2028. As for AMATA, it raised its land sales forecast for 2027 to 2028 to 1,550-1,600 rai per year to reflect the inclusion of the Amata City Namor project in its estimates.

The US Federal Reserve voted unanimously 12–0 to raise interest rates by 0.25% to a range of 3.75–4.00%, its first hike since 2023, and signaled it may raise once more this year. Its latest projections put the year-end 2026 rate at about 4.1%, with 2027 likely holding steady before a possible cut in 2028. Several brokers assess the meeting as negative for the Thai stock market in the short term, because US Treasury yields and the dollar are likely to strengthen, which could pressure foreign capital flows and share prices, especially growth stocks and those with high P/E ratios, amid inflation still above the 2% target and oil prices holding above 100 dollars a barrel, forcing the market to cope with a prolonged period of high interest rates. Tisco Securities estimates the SET will move in a range of 1,570–1,660 points, with support at 1,570–1,580 points and resistance at 1,630 and 1,660 points, and highlights the energy and commodities group such as PTTEP, PTT, SPRC, TOP, IVL, PTTGC, CPF, TFG, GFPT, TVO, SCGP and SCCC; the banking and insurance group such as KBANK, KTB, TTB, BLA and TLI; and the AI, infrastructure and power group such as HANA, AMATA, WHA, GULF, EGCO, ADVANC, TRUE and STECON. Meanwhile, Krungsri Securities favors domestic and defensive plays with clear revenue and cash flow, especially BDMS and BCH, and warns that expensive, rate-sensitive stocks such as DELTA could come under pressure if the Fed signals more sustained rate hikes than the market expects.

Analysts have released dividend estimates for 2026 covering five power plant stocks. InnovestX Securities expects GULF to pay a dividend of 1.79 baht per share, maintaining an OUTPERFORM rating with a target price of 78 baht. KGI Securities (Thailand) expects RATCH to pay a dividend of 1.50 baht, upgrading its recommendation to Buy with a new target price of 43 baht, up from 29 baht, and expects EGCO to pay a dividend of 6.50 baht, upgrading its recommendation to Buy from Hold with a new target price of 145 baht, up from 125 baht. Yuanta Securities (Thailand) expects GPSC to pay a dividend of 1.31 baht with a target price of 66.50 baht, maintaining a Buy rating and naming it a Top pick in the power plant sector for the fourth quarter of 2026. DAOL Securities (Thailand) expects BGRIM to pay a dividend of 0.58 baht with a Buy recommendation and a new target price of 25 baht, up from 20 baht. The main supporting factor comes from the Power Development Plan 2026, or PDP 2026, which will add new generating capacity including solar, wind, and gas power plants, as well as Direct PPA and the data center business.

Thawatchai Samranwanich, President and Chief Executive Officer of Electricity Generating Public Company Limited, or EGCO, said at Gastech 2026 that natural gas continues to play a vital role in Thailand's energy security, particularly in maintaining the stability of the power system, amid the push to raise the share of renewable energy under the new national energy plan. Natural gas-fired power plants continue to help absorb system fluctuations and strike a balance between energy security, clean energy use, and the country's competitiveness. At this year's event, EGCO presented an overview of its development and investment in the power generation business and related businesses, which currently cover investments in seven countries: Thailand, the United States, Laos, Indonesia, the Philippines, Taiwan, and South Korea. Its portfolio spans natural gas-fired power plants, renewable energy plants including solar and wind power, and energy storage systems. EGCO also presented new technologies applied to its power business, including its experience testing hydrogen blended with natural gas at a power plant in the United States, a study on using ammonia alongside fuel at a power plant in Rayong province, and a study on carbon capture at a power plant in Nakhon Si Thammarat province. Thailand's selection as the host of Gastech 2026 reflects the country's potential and credibility, as well as its opportunity to play a role in connecting the energy business, both gas and power, and to serve as a hub for energy infrastructure in the ASEAN region.

The research team at Asia Plus Securities said that on September 11 the government discussed and prepared to tighten data center criteria, aiming to reach a conclusion within September 2026. Under the plan, data center operators will bear higher electricity rates, and the state will consider using the revenue difference to help reduce the public's power bills. It may also set conditions requiring operators to invest in or procure clean energy alongside their data center investment, review new site locations with greater emphasis on safety and suitability of the area, and close past legal loopholes that allowed BOI applications for projects developed in urban areas. The research team views this as structurally positive for the power plant sector, expecting it to add incentive for large electricity users in the data center group to manage long-term costs by procuring clean power through Direct PPA mechanisms directly with power plant operators. Meanwhile, stricter measures against building data centers in city centers will help push data center operators to move into industrial estates such as the EEC, which benefits SPP power plant operators that have expanded networks and provide full utility services in those areas. The research team recommends a Selective Buy strategy in the power plant group with large renewable energy portfolios and readiness in terms of land or networks in industrial estates, naming GULF with a fair value of 80 baht and BGRIM with a fair value of 22 baht as top picks. Related stocks or those with plans to invest in the data center business, such as GPSC, EGCO, RATCH and GUNLUL, are expected to receive positive sentiment from the growth opportunities in the clean power market going forward.

EGCO announced the closing of a deal to sell a 49% investment stake in the BPU and KLU power plants for approximately 2.8 billion baht, retaining a 51% holding totaling 162 megawatts. Analysts at Yuan Ta Securities (Thailand) estimate that EGCO will recognise a special profit from the transaction of about 1 to 1.4 billion baht during the third quarter of 2026. For the normal profit outlook in the third quarter of 2026, growth is expected both quarter-on-quarter and year-on-year, supported by seasonal factors from hydropower projects in Laos and natural gas-fired power plants in the United States, a full quarter of higher capacity payments in the United States at 329 US dollars per MW per day, and the return to operation of the QPL power plant in the Philippines after it spent last year awaiting a new PPA contract. The brokerage maintains a "Buy" recommendation with a fair value of 187 baht.

Electricity Generating, or EGCO, announced the successful closing of a deal to sell a 49% stake in Ban Pong Utility, or BPU, and Khlong Luang Utility, or KLU, to J-POWER Holdings (Thailand), or J-POWER, receiving approximately 2,765 million baht in cash on 10 September 2026. Thawatchai Samranwanich, President of Electricity Generating, said the share sale will help strengthen the company's financial structure and enhance its ability to allocate capital for further investment in new projects offering higher returns. EGCO retains a majority 51% stake, so both BPU and KLU remain subsidiaries, and EGCO continues to recognise their share of profits and cash flow on a regular basis. The two power plants are combined-cycle facilities with total installed capacity of 256 megawatts and 122 megawatts respectively, backed by 25-year long-term power purchase agreements with the Electricity Generating Authority of Thailand. The closing of this deal marks a key success in driving the Asset Recycling strategy under the POWER4 framework, helping to support a 30,000 million baht investment budget for new opportunities from the PDP 2026 plan, Direct PPA projects, BESS projects, as well as the expansion of natural gas and renewable power plant businesses overseas, especially in the United States.

Mr. Thawatchai Sumranwanich, Chief Executive Officer of Electricity Generating Public Company Limited (EGCO), stated at the BIG ISSUE: PDP 2026 ENERGY GREEN POWER event that the draft PDP 2026 clearly reflects the direction of increasing the share of renewable energy, while defining a new role for natural gas power plants (CCGT) that must shift from constant operation to flexible capacity, with the minimum output reduced from about 60% to 30% to allow more renewable energy into the system. Meanwhile, the private sector has two investment opportunities: upgrading existing assets and investing in new projects, including renewables, natural gas power plants, and battery energy storage systems. Regarding the four scenarios in the draft plan, Mr. Thawatchai noted that Scenario 3, which fully accelerates renewables, entails high system upgrade costs of around 700 billion baht, while the average electricity tariff over the 25-year plan differs by only the third and fourth decimal places across cases. Personally, he believes the middle path should be chosen, as it is a reasonable transition, and the private sector must be ready to seize opportunities once the policy is clear.

Asia Plus Securities stated that the PDP2026 plan, which opens for public hearing today, sets a new capacity framework for 2026-2037 totaling 50,900 megawatts, comprising 24,300 megawatts of solar, 14,500 megawatts of BESS, 9,100 megawatts of CCGT, 2,700 megawatts of wind, and 300 megawatts of SMR. The broker views that gas-fired power plants remain crucial for system stability, thus presenting an opportunity for GPSC, EGCO, and RATCH, which have plants nearing expiration that can be renewed. Meanwhile, the research arm favors GULF and GUNKUL as outstanding plays aligned with the plan's direction, given their strong fundamentals and expertise in renewable energy. However, as the public hearing is still in its early stages, there is no clear auction timeline yet, but it is expected that capacity allocation will be distributed among multiple players such as GPSC, BGRIM, RATCH, EGCO, SSP, and SPCG.

Analysts from Asia Plus Securities stated that the review of criteria for setting up data centers in Bangkok's urban areas, following environmental and safety complaints, will push operators to relocate investments to the EEC zone, which has more complete infrastructure. It is expected that power plant stocks GPSC, EGCO, RATCH, and GUNKUL will benefit in the long term. Meanwhile, GULF has a data center already in operation with 25 megawatts in Samut Prakan, and is developing another 38 megawatts in the EEC, with plans to expand by an additional 100 megawatts. BGRIM has a joint project with Digital Edge of 96 megawatts in the EEC, with the first phase of 48 megawatts expected to begin partial operations in the fourth quarter of 2026.

Electricity Generating Public Company Limited (EGCO) expects its Q3/69 performance to improve seasonally as it enters the high season for power plant operations, particularly hydropower plants in Laos with high water levels, as well as large power plants in South Korea and the United States, where electricity demand is rising due to AI and data center investments. Mr. Somkiat Suthiwanich, Deputy Managing Director of Accounting and Finance, revealed during an earnings call that the company will record a gain from the sale of a 49% stake in Ban Pong Utility and Khlong Luang Utility to J-POWER in Q3/69, as part of its asset recycling strategy. Meanwhile, the company has a capital expenditure budget of 30 billion baht this year and is in negotiations for several M&A deals, some of which require regulatory approval. The company is confident that its total capacity will increase this year, even though the stake sale will slightly reduce its overall capacity share. Additionally, the company is in talks with 2-3 data center clients to invest in the Ekov Rayong Industrial Estate (ERIE) and plans to refinance approximately 34 billion baht in debt maturing within one year, using its available cash of around 30 billion baht combined with partial refinancing.

EGCO Group has set an investment budget of approximately 30 billion baht for the second half of 2026 to expand its natural gas and renewable energy power plant portfolio, while using Asset Recycling to enhance financial flexibility. Mr. Thawatchai Sumranwanich, Chief Executive Officer, stated that the company will focus on investing in assets that generate cash flow and seek opportunities in the United States, which is its second-largest investment base after Thailand. Domestically, the company sees that PDP 2026 and Direct PPA will create opportunities in five areas: expanding capacity from existing power plants, renewable energy, battery energy storage systems (BESS), SMR technology, and the Eko Rayong Industrial Estate (ERIE), which supports data center demand. Meanwhile, first-half performance has bolstered cash flow, and the board has resolved to pay an interim dividend of 3.25 baht per share, with a yield of 4.96%, payable on September 18, 2026.

Electricity Generating Public Company Limited, or EGCO, reported first-half 2026 results with total revenue of 19.179 billion baht and net profit of 1.538 billion baht, while cash and cash equivalents on hand reached 31.811 billion baht. President Thawatchai Samranwanich said the support came from cost management at IPP power plants in Thailand, especially the BLCP plant, which benefited from lower fuel costs, and the Kaeng Khoi plant, which saw higher electricity sales. Hydropower plants in Laos, including Nam Theun 2 and Xayaburi, also delivered better results from seasonally higher water levels, while growth in the data center and AI business in the United States supported revenue at Linden Cogen, where EGCO increased its stake to 38 percent as of 30 June 2026. The company had total assets of 224.391 billion baht and shareholders' equity of 101.381 billion baht, with a strategy of pursuing asset recycling alongside investment in quality assets for long-term growth.

Krungsri Securities forecasts Thai stock market profits for the second quarter of 2026 at 250 to 280 billion baht, down 15 to 24 percent from a year earlier and down 19 to 26 percent from the previous quarter. The refinery group saw volatile earnings on the downside, while the industrial goods, ICT, and power sectors are expected to post profit growth. The research team recommends a speculative strategy on stocks whose results will stand out or have passed their trough. Stocks expected to show Q2 profit growth both year-on-year and quarter-on-quarter include PTTEP, SCC, SCGP, ADVANC, TRUE, BH, IVL, THANI, TNP, MOSHI, BA, AP, INSET, and ADVICE. Stocks for which Q2 is likely the year's low point and earnings will accelerate in the second half of 2026 include KTB, KBANK, AOT, BDMS, EGCO, ICHI, THAI, and TFG. The top picks are ADVANC, SCC, IVL, BH, KBANK, AOT, and ICHI.

Most brokers continue to recommend buying or holding shares of Electricity Generating Public Company Limited, or EGCO, even though they expect second-quarter 2026 earnings to slow sharply. Core profit is forecast at 430 to 894.2 million baht, down 77 percent from a year earlier and down 23.4 to 56 percent from the previous quarter, as equity income from associates fell across several projects. For example, the Paju ES power plant was pressured by higher gas costs, the Yunlin wind farm faced a low-wind period, and US power plants underwent planned maintenance shutdowns. However, brokers see a strong recovery trend in the third quarter of 2026, with core profit expected to rebound both quarter-on-quarter and year-on-year to a range of roughly 800 million to 1.4 billion baht, driven by the high season for hydropower plants and the summer season for US plants, as well as higher revenue recognition. In addition, EGCO has positive factors from growth opportunities under the new PDP plan, potential expansion into the data center business, a strong financial position, and an attractive dividend yield of 4 to 5.6 percent per year.

EGCO Group has been ranked among the top three globally in the Dow Jones Best-in-Class Indices, or DJ BIC, for 2026 in the electric utilities category within the emerging markets index. The company passed the assessment with outstanding performance across all dimensions of future risk, including portfolio management, environmental stewardship, and people development, under the ONE EGCO ONE GOAL concept. It has also set a roadmap to achieve carbon neutrality by 2040 and net-zero greenhouse gas emissions by 2050.