Electronic Equipment, Instruments & Components

TD SYNNEX has been awarded a Zacks Rank #1 (Strong Buy) after analysts sharply raised their earnings estimates for the company. The consensus estimate for the current quarter now stands at $5.69 per share, a year-over-year change of +48.6%, and has climbed 27.47% over the last 30 days as four estimates moved higher with no negative revisions. For the full year, the company is expected to earn $20.50 per share, a change of +55.4% from the prior-year number, with the consensus estimate rising 10.47% over the past month as five estimates moved higher and none moved lower. The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an externally-audited track record in which #1 Ranked stocks have generated an average annual return of +25% since 2008. TD SYNNEX shares have added 6% over the past four weeks.

Jabil Inc. reported fourth-quarter revenue of $10.6 billion, up from $8.3 billion, with core EPS of $4.4 versus $3.29, and guided fiscal 2027 revenue to $44.5 billion, representing 24% growth. The company projected a 30-basis-point expansion in core operating margin to 6.1% and core EPS growth of 34% to $17.55. AI infrastructure is the company's most important growth engine, with its capital equipment business expected to reach $4.2 billion in fiscal 2027, up 40% year over year, while networking and communications is expected to generate $3.9 billion, up 15%. Jabil also expects its healthcare and packaging business to generate $5.6 billion in fiscal 2027 revenue, up 6%, with more than 700 million injectors and delivery pens manufactured, while renewable and energy infrastructure revenue is expected to rise 7% to $3 billion and auto and transportation revenue to increase 9% to $5 billion. The stock has gained 50.5% over the past year, trailing the Electronic Manufacturing Services industry's 64.5% growth, and trades at 17.5 forward earnings versus 20.2 for the industry and its mean of 21.5.

Maris-Tech Ltd. announced it has received a pilot order for an armored vehicle situational awareness application from a leading global defense company, secured through a distributor. The pilot follows an extensive engineering and adaptation process in which Maris-Tech's Jupiter product line was adapted to meet the end customer's specific video streaming requirements for armored vehicle situational awareness. The company said the adaptations developed through this process have expanded the capabilities of its products and may also support additional applications and market opportunities across the modern battlefield. Based on estimates and forecasts provided by the end customer, successful completion of the pilot could result in significant follow-on orders over the coming years, according to the company. Chief Executive Officer Israel Bar said the pilot represents the result of a substantial engineering process focused on meeting the specific video requirements of a major defense customer, and that the capabilities developed strengthen the versatility of the Jupiter product line and expand its relevance to additional armored vehicle and battlefield applications.

Foxconn, the world's largest contract electronics maker, reported a 47% year-on-year surge in third-quarter revenue, beating estimates on strong AI demand. Revenue for the July-September quarter was T$3.03T, or $95.4B, well above an LSEG SmartEstimate of T$2.83 trillion. The Apple and Nvidia supplier, formally known as Hon Hai Precision, reported September revenue of $1.16T, up 38.42% year-on-year. The company said AI-related operations are expected to continue growing in the fourth quarter, and together with the traditional peak season for electronics products in the second half, this should support overall performance in line with current market expectations. Foxconn will report full third-quarter earnings on November 12.

Foxconn, the world's largest contract electronics manufacturer from Taiwan and the largest server maker for Nvidia, reported third-quarter 2026 revenue up 47% year on year, beating market expectations, driven by strong growth in demand for artificial-intelligence-related products. Revenue for the July-to-September period came in at 3.03 trillion Taiwan dollars, or about 95.4 billion US dollars, above the 2.83 trillion Taiwan dollars forecast by analysts polled by LSEG SmartEstimate. The better-than-expected results reflect momentum from the AI investment wave, which is boosting demand for servers and computing infrastructure, with Foxconn among the key server makers benefiting from the market's expansion.

Hon Hai Precision Industry Co., the Nvidia server assembly partner also known as Foxconn, reported better-than-expected quarterly revenue, signaling sustained and elevated spending on global AI infrastructure. Sales for the three months ended in September totaled NT$3.03 trillion, or $95.4 billion, up 47%, topping the NT$2.83 trillion analysts had expected on average. The strong growth followed a bullish forecast from Micron Technology Inc. last week, adding to evidence that AI spending continues to climb even as executives such as OpenAI's Sam Altman and Anthropic PBC's Dario Amodei call for slowing development of the technology. Hon Hai's sales are seen as a check-in for the AI sector as investor concerns grow about overcapacity, rising debt levels and regulatory setbacks, and its share price is up about 10% since the start of the year. The Taipei-based company still derives a significant chunk of revenue from its lower-margin Apple Inc. business as the primary iPhone manufacturer, though Apple is diversifying suppliers with the likes of Luxshare Precision Industry Co.

JEOL Ltd. announced the development of HAXIS, a new low-angle ion-milling scanning electron microscope, and began sales on October 5, 2026. The instrument is a semiconductor failure analysis platform that combines low-angle ion milling delayering with scanning electron microscopy imaging and passive voltage contrast analysis. According to the company, HAXIS delivers clear and highly reproducible PVC observation even on advanced semiconductors, using argon, an inert gas, to ensure stable surface quality and reduce running costs. The combined workflow is designed to speed the path from electrical failure detection to physical analysis and root-cause identification, supporting quick turnaround time failure analysis. JEOL is led by President and CEO Izumi Oi.

Corning has signed a multi-year supply agreement with AT&T worth more than US$3b, tying its fiber and cable output directly to the buildout of U.S. connectivity infrastructure through 2030. The deal follows a strong run in Corning's shares this year, with an 81.09% year-to-date share price return and a 1-year total shareholder return of 98.21%, despite a 15.71% decline over the past 90 days. On the most followed narrative, Corning screens as 14% undervalued, with a fair value of $189.94 against a last close of $164.19. On an earnings yardstick the picture differs, with the shares trading on a P/E of 74.4x against a fair ratio of 53.3x, the US Electronic industry at 30.3x and a peer average of 48x. Corning's use of non-GAAP metrics and the potential for further equity issuance could unsettle confidence in earnings quality and raise the possibility of future dilution.

LG Innotek's production subsidiary in Hai Phong, Vietnam, has marked its 10th anniversary, having grown into the company's largest global manufacturing base. The subsidiary was established in September 2016, began mass production in 2017, and recorded approximately USD 4.1 billion in revenue in 2025, with cumulative investment of approximately USD 1.9 billion and cumulative revenue of approximately USD 25 billion over the decade. It now spans a total floor area of 242,600 square meters with 6,500 employees, 99 percent of them local, and local leaders hold 87 percent of key positions. LG Innotek is expanding the site beyond optical solutions into semiconductor substrates, having selected Hai Phong last June as a hub for that production and begun construction of a new factory with initial investment of approximately USD 1 billion, scheduled for completion in May 2027, targeting a package solutions business generating USD 740 million in operating profit by 2031. CEO Moon Hyuksoo said the company will strengthen its High Performance Portfolio with the Vietnam production subsidiary at the center and accelerate its transformation into a global solutions company.

SMT shares closed the morning session at 6.80 baht, up 0.15 baht or 2.26%, after touching an intraday high of 6.90 baht, supported by three factors. First, positive sentiment in the electronics sector, with DELTA, HANA and KCE leading the market this morning after US employment figures came in below expectations, easing market worries that the Fed will accelerate rate hikes, while US semiconductor stocks surged on Friday night. Second, SMT has its own specific catalyst from its Optical business, which involves optical signal transmission and stands to grow with AI and data centers. Yuanta Securities expects orders from global Optical customers to gradually increase and sees a clearer impact on revenue and margin over the next two quarters. Third, Yuanta expects normal profit in the third quarter of 2026 to grow 65% quarter-on-quarter, and sees 2026 profit swinging from a loss of 146 million baht in 2025 to a profit of 150 million baht. For 2027, it expects profit to grow 88% year-on-year to 282 million baht. It has therefore raised its end-2027 fair value to 8.40 baht and maintained its buy recommendation. The closing price on 2 October already set a new 52-week high at 6.90 baht, while Yuanta's target price of 8.40 baht remains well above the current price.

Jabil reported fourth-quarter revenue up 29% year over year and core earnings per share up 34% to $4.40, and guided fiscal 2027 core EPS to $17.55, another gain of about 34%. The company generated $14.4 billion of AI-related revenue in fiscal 2026 and expects $22.1 billion in fiscal 2027, a 54% increase, with six customers in the segment expected to top $1 billion each in fiscal 2027. Jabil supported $36.0 billion of revenue in fiscal 2026 on just $470 million of net capital spending, lifting core return on invested capital to 59%, nearly triple the fiscal 2020 level, and buybacks absorbed about $1.1 billion of free cash flow during the year. On the risk side, chief supply chain officer Francis McKay said memory is being pulled toward AI and hyperscale buyers, squeezing other markets, and Connected Living is expected to shrink 15% to $2.3 billion, while healthcare fell short in the fourth quarter on equipment delays and a slipped customer program. Jabil is adding more than $8.5 billion of revenue in fiscal 2027, which management called unprecedented, and a second hyperscale customer is expected to pass 10% of total revenue, while net inventory days of 64 remain above the 55 to 60 day target.

Kersen Technology recently disclosed an announcement that the company plans to acquire a controlling stake in Huizhou Zhangu Technology Co., Ltd. for no more than 500 million yuan. On September 28, Kersen Technology signed a framework acquisition agreement with Zhangu Technology, He Dongping, Zhang Yingwu, and Huang Weilong, intending to use no more than 500 million yuan of its own or self-raised funds to obtain 53.26% equity in Zhangu Technology through capital increase and equity transfer. Specifically, the company plans to use no more than 210 million yuan to increase capital in Zhangu Technology, holding 22.37% equity after the capital increase, and plans to use no more than 290 million yuan to acquire 30.89% equity held by He Dongping and Zhang Yingwu. Kersen Technology stated that its revenue structure is relatively concentrated in the consumer electronics sector, and its earnings stability is significantly affected by fluctuations in the downstream single industry. This transaction will further integrate high-quality assets and customer resources in the precision metal manufacturing sector, broaden product categories, and improve the industrial chain. Zhangu Technology was established in August 2014 with a registered capital of 25 million yuan, mainly engaged in the production and manufacturing of liquid cooling plate covers, flow channel parts, connector housings, manifold structural parts, CDU sheet metal and other products. The company cautioned that after the transaction is completed, Zhangu Technology will be included in the consolidated financial statements and is expected to generate a certain amount of goodwill. If its future operations undergo adverse changes, the goodwill will be subject to impairment risk.

Badger Meter launched OneNetwork, a real-time monitoring and analytics platform designed to unify fragmented water and wastewater system data, at the WEFTEC conference in New Orleans. The company's share price has fallen 27.6% year to date, with a 1 year total shareholder return down 28.6%, though the 5 year total shareholder return of 26.6% still points to longer term gains. The most followed narrative places Badger Meter's fair value at $169, above the last close of $127.77, framing OneNetwork as part of a wider digital push alongside the BlueEdge platform and expansion beyond the meter. That narrative cites intensifying water scarcity, mounting regulatory pressure, and mandates for real-time monitoring as drivers of shorter replacement cycles and pricing power. Supply chain and tariff pressures, along with any slowdown in core utility water projects, could weaken that upbeat case.

Shares of electronic components distributor Avnet jumped 5.2% in the afternoon session after demand rose for electronic components used in AI infrastructure and global data-center buildouts, according to TipRanks. Record trading levels reflected the AI and data-center cycle pulling through distributors, while sentiment also got a lift from normalizing supply chains in industrial and automotive end markets that broadened the demand backdrop beyond AI alone. After the initial pop, the shares cooled down to $107.15, up 4.8% from the previous close. Avnet is up 117% since the beginning of the year and, at $107.15 per share, has set a new 52-week high. The stock's biggest recent move came 8 months ago, when it gained 11.6% on strong fourth-quarter results for its quarter ended December 2025, posting revenue of $6.32 billion, up 11.6% year on year and 4.9% above consensus, with adjusted earnings per share of $1.05 versus $0.87 a year earlier and 10.2% above forecasts, alongside next-quarter revenue guidance of $6.35 billion at the midpoint, 7.9% above analyst expectations.

Jabil reported fiscal fourth-quarter adjusted earnings of $4.40 per share, up roughly 34% from $3.29 a year ago and 8% above the Zacks EPS Consensus of $4.06, while revenue climbed 28.6% year over year to $10.62 billion, comfortably surpassing expectations of $9.62 billion by nearly 10%. The standout was Jabil's Intelligent Infrastructure business, where revenue surged 56% to approximately $5.8 billion as AI-related demand accelerated beyond management's already-strong expectations, with the company also benefiting from better-than-expected performance in automotive and transportation as well as renewable and energy infrastructure products. Management expects the momentum to continue in fiscal 2027, projecting revenue to increase 24% to $44.5 billion, adjusted EPS to jump 34% to $17.55, and core operating margin to expand 30 basis points to 6.1%. Year to date, Jabil stock is up 30%, roughly on par with its Zacks Electronics-Manufacturing Services Industry and ahead of the S&P 500 and Nasdaq's gains of 11% and 16%, respectively, and JBL trades at a reasonable 19X forward earnings multiple, a modest discount to the S&P 500's 21X and its Zacks industry average of 24X. Jabil stock lands a Zacks Rank #3 (Hold), suggesting better buying opportunities could still be ahead.

TTM Technologies has completed its $1.1 billion acquisition of Epiq Solutions, strengthening its defense and aerospace business. Epiq develops software-defined radios, RF systems and radiation-tolerant computing solutions used across defense, intelligence and space applications, capabilities that complement TTM Technologies' existing printed circuit board, RF component and mission-system offerings. The deal advances the company's strategy of moving up the chain through greater vertical integration and expands its opportunities across land, air, sea and space applications, including signals intelligence, secure communications, electronic warfare and space systems. Financially, TTM Technologies expects Epiq to immediately strengthen adjusted EBITDA, though the deal is expected to be moderately dilutive to adjusted earnings per share in 2027 before becoming accretive in 2028. TTM Technologies faces strong competition from U.S.-based aerospace and defense electronics companies including Curtiss-Wright Corporation, Mercury Systems and Sanmina.

The U.S. Securities and Exchange Commission, or SEC, has proposed new rules that would make it easier for investment advisers and regulated funds to hold crypto assets on behalf of clients. The SEC announced the proposal on Thursday, October 1. It sets out a specific framework for the custody and safekeeping of crypto assets by registered investment advisers, investment companies, and business development companies. The proposal would open the door to self-custody of crypto assets under certain conditions, and would also allow state-regulated trust companies to act as custodians of crypto assets for clients and regulated funds. SEC Chairman Paul Atkins said existing regulations cannot adapt quickly enough to the rapid expansion of digital assets, which has now grown into a market worth several trillion dollars. The move comes after the Clarity Act, a bill aimed at establishing a broad regulatory structure for the crypto market, stalled in the Senate in September. The SEC will accept public comments for 60 days after publication in the Federal Register. Meanwhile, the crypto market is beginning to recover, with Bitcoin up more than 40% from its July low.

Kyocera Corporation announced it will begin sales in November 2026 of a new circulating inkjet printhead for label and packaging printing, the KJ4A-EX600RC-HX, which supports white ink, varnish ink and foil decoration. The printhead measures 200 by 42 by 68 millimeters, prints at speeds up to 100 meters per minute at 600 dots per inch, and has an effective print width of 108.33 millimeters. It offers a maximum drive frequency of 40 kilohertz, a maximum droplet volume of 21 picoliters and a minimum droplet volume of 7 picoliters, and supports UV ink with a viscosity range of 8 to 11 millipascal-seconds. Kyocera said its proprietary structure circulates ink near the nozzles for stable printing, and that the expanded viscosity range and 100 meter per minute speed deliver one of the highest productivity levels among its UV ink-compatible printheads as of September 2026. The printhead will be produced at Kyocera's Kirishima Plant in Kagoshima, Japan, and the company said it addresses rising demand for decorative effects such as vivid white-ink colors, glossy varnish finishes and metallic foil designs in the label and packaging market.

The analyst team at Krungsri Securities has raised its recommendation on the electronic components sector to Bullish from Neutral, expecting every company in the group to post stronger earnings in the third quarter of 2026 than in the second quarter, with momentum continuing through the fourth quarter of 2026 and into 2027. The brokerage expects the industry's combined profit to grow 52% in 2027, accelerating from 42% in 2026, driven by demand for both AI-related and non-AI products. It recommends buying all three stocks under coverage: DELTA with a target price of 320 baht and KCE with a target price of 97 baht, naming them top picks on the theme of product price increases, which should deliver the strongest net profit per share growth in 2027. DELTA is expected to post profit growth of 51% in 2027, up from 42% in 2026, while KCE is seen growing from 77% in 2026 to 82% in 2027, and HANA from 24% in 2026 to 45% in 2027. The brokerage also raised its earnings forecasts for KCE by 5% for 2026 and by 28% for 2027 to reflect its positive view that KCE is entering a sustained cycle of product price increases, including one more price increase in October 2026 on top of the two previously expected in July 2026 and January 2027. Among non-AI stocks, it still prefers KCE over HANA because KCE operates further upstream and owns its own laminate factory, giving it better control over raw material costs.

TTM Technologies reported record quarterly net sales of $1.00 billion for its second quarter, up 37.4% year on year and 4.8% above analysts' expectations, with next-quarter revenue guidance also exceeding consensus. Chief Executive Officer Edwin Roks credited robust Data Center and Networking demand, which rose 91% year on year, along with 33% growth in the Medical, Industrial and Instrumentation end market and 14% growth in Aerospace and Defense. The stock has fallen 6% since the results and trades at $123.42. Across the 10 electronic components and manufacturing stocks tracked in the group, revenues beat consensus by 4.7% and next-quarter revenue guidance came in 6.3% above estimates, with share prices up 2.1% on average since reporting. Amphenol led the group with revenue of $8.76 billion, up 55% year on year, while Jabil posted $10.62 billion, up 28.6%, and Plexus reported $1.30 billion, up 28.1%; Rogers was the weakest, with revenue of $216.8 million, up 6.9%, and a significant miss on earnings per share.

Vishay Intertechnology introduced four new power modules featuring 650 V superjunction MOSFETs in the industry-standard SOT-227 package. The Vishay Semiconductors VS-FC50SA65, VS-FC100SA65, VS-FC150SA65, and VS-FC50LA65 are designed to deliver an optimized balance between conduction and switching losses for high efficiency power conversion in industrial applications. Three of the devices are in a single-switch configuration with nominal current ratings of 50 A, 100 A, and 150 A, while the fourth is a 50 A device in a low side chopper configuration that integrates a 650 V SiC diode. All four leverage the latest 650 V superjunction MOSFET technology to achieve a competitive tradeoff between on-resistance and gate charge, and they operate over a temperature range of -55 °C to +150 °C. The SOT-227 package provides a drop-in replacement for competing solutions, lowering costs by eliminating the need for PCB redesigns, and sample and production quantities are available now with lead times of 12 weeks.

Corning Incorporated has secured a multi-year agreement worth more than $3 billion with AT&T Inc. to expand high-speed broadband infrastructure in the United States. Under the deal, Corning will supply the fiber and cable required for AT&T's network expansion, supporting connectivity for residential customers, businesses and communities. Corning is also expanding its fiber and cable production in the United States, including a North Carolina facility that has created hundreds of jobs. The company has separately partnered with Verizon Communications Inc. to provide fiber and connectivity solutions for broadband expansion and AI-related infrastructure. Corning's 2026 earnings estimates have increased 0.9% to $3.28 per share and its 2027 estimates have risen 0.7% to $4.28 over the past 60 days, while its shares trade at 38.14 forward 12-month earnings.

Shares of Hana Microelectronics Public Company Limited, or HANA, rose 5.39%, trading at 53.75 baht in the afternoon, up 2.75 baht, after touching a high of 54.00 baht during the session, with turnover of 2.39658 billion baht. KGI Securities (Thailand) recommends buying with a target price of 63.00 baht at the end of 2027. It expects core profit in the third quarter of 2026 to recover to 305 million baht, improving both year on year and quarter on quarter, driven by better margins, a smaller loss at PMS after production was shifted to Chinese manufacturers, rising orders from Phononic, and a weaker baht. As a result, core profit for the first nine months of this year stands at 686 million baht, up 67% year on year, accounting for 70% of the research house's full-year profit estimate. KGI also expects core profit in the fourth quarter of 2026 to rise both year on year and quarter on quarter, with a continuously improving trend in 2027, when it forecasts growth of 44% on higher sales and gross margin. It sees earnings continuing to recover on the back of growing AI adoption, after HANA won orders related to cooling solutions, data transmission apps, and solid-state transformers.

Fort Corporation Public Company Limited, or FORTH, announced that its board of directors meeting on 30 September 2026 approved a proposal to be submitted to the first extraordinary general meeting of shareholders of 2026 to consider and approve an increase in registered capital of not more than 13,565,891.50 baht, from existing registered capital of 467,687,350 baht to new registered capital of 481,253,241.50 baht, through the issuance of not more than 27,131,783 new ordinary shares with a par value of 0.50 baht per share, offered to existing shareholders in proportion to their holdings at a price of 12.90 to 16.80 baht per share, at a ratio of 34.4752 existing shares to 1 new share. The final offering price will be determined at least 2 business days before the date on which purchasers of the securities are no longer entitled to subscribe for the new shares. The company expects to receive proceeds of approximately 350.00 to 455.81 million baht from this share issuance and offering, and plans to use the funds to support investment and business expansion under its commercial aircraft repair centre project, or MRO, by 2028. The first extraordinary general meeting of shareholders of 2026 is scheduled for 11 November 2026 at 2:00 p.m. on the 7th floor of the company's office building, and the record date for shareholders entitled to attend the meeting is set for 14 October 2026.

Four brokerages agree that the third-quarter 2026 profit of Delta Electronics (Thailand) Public Company Limited, or DELTA, will recover significantly, forecasting net profit or core business profit in the range of 7,900 to 8,970 million baht, rising both year on year and quarter on quarter, after raw material shortage problems began to ease, while orders from the Data Center and AI groups remain strong. KGI Securities (Thailand) maintains a Buy rating with a target price of 320 baht, expecting core profit in the third quarter of 2026 at 8.3 billion baht, up 30% year on year and 50% quarter on quarter, on sales of 2.3 billion US dollars, up 39% year on year and 14% quarter on quarter, driven by investment from Cloud Service Providers that aim to raise their 2026 capital expenditure by 77% year on year. Finansia Syrus Securities recommends Buy with a 2027 target price of 290 baht, expecting third-quarter 2026 profit at 8.3 billion baht and forecasting fourth-quarter 2026 profit to reach a new high of more than 10 billion baht from the gradual delivery of delayed orders. UOB Kay Hian maintains a Buy rating with a target price of 300 baht, expecting third-quarter 2026 net profit at 8.97 billion baht, up 21% year on year and 48% quarter on quarter. Liberator Securities recommends Buy with a fair value of 322 baht, expecting third-quarter 2026 net profit at 7,900 million baht, up 6% year on year and 30% quarter on quarter, and has raised its 2026 sales estimate to 8.71 billion US dollars, up 45% year on year, and lifted its net profit estimate to 31,939 million baht, up 29% year on year. It views that the issuance of a 1.5 billion US dollar Exchangeable Bond by Delta Electronics International (Singapore), a subsidiary of the Taiwanese parent company, will not affect operations, and that this issue has already been reflected in the share price.

Krungsri Securities maintains its Buy rating on KCE Electronics and raises its target price to 97 baht from 68 baht, based on a 2027 P/E of 45 times, compared with the closing price of 76.25 baht on 30 September 2026, implying 27% upside from the new target. Krungsri has raised its earnings forecasts for KCE, expecting profit to rise 5% in 2026 and 28% in 2027, on the view that KCE is entering a sustained product price-increase cycle and is expected to raise PCB prices again in October 2026 after copper prices continued to climb, with signals from DELTA that PCB suppliers are seeking another round of price increases in the same month. For KCE, a major maker of automotive printed circuit boards, or PCBs, the research team says the company is entering an upcycle, with management guiding that fourth-quarter 2026 orders will be at a good level and steady versus the third quarter of 2026 despite the low season, while the company plans to raise PCB prices by 9-10% in line with higher raw material costs. Under the revised forecasts, Krungsri expects core profit of 1.404 billion baht in 2026, up 77.3%, and 2.562 billion baht in 2027, up 82.4%, with these forecasts not yet including revenue from Tesla. On revenue, Krungsri expects KCE to post 14.811 billion baht in 2026, up 13.3%, and 18.514 billion baht in 2027, up 25.0%, while EBITDA is forecast at 2.676 billion baht in 2026 and 3.995 billion baht in 2027. The gross margin is expected to rise from 22.5% in 2026 to 26.5% in 2027. Krungsri notes that KCE has its own laminate production facilities, which allows it to control raw material prices well and leaves it less affected by higher raw material costs than its competitors. KCE trades at a P/E of about 35 times on 2027 forecasts, while EPS is expected to grow 82%. Krungsri says the catalyst driving the stock toward the new target price is strong earnings momentum, which is expected to become visible from the third quarter of 2026 onward.

Yuanta Securities (Thailand) has maintained its Buy rating on Stars Microelectronics (Thailand), or SMT, and raised its end-2570 target price to 8.40 baht per share from 7.60 baht, based on a PER of 25 times, after lifting its 2570 profit forecast on the back of strength in the Optical business. The stock price as of September 30, 2569 stood at 6.05 baht, implying 38.8% upside to the target price. Yuanta's research team expects SMT to post normalized profit of 56 million baht in the third quarter of 2569, up 65% QoQ and a turnaround from a loss of 49 million baht in the third quarter of 2568. If achieved, this would mark a second consecutive quarter of normalized profit following eight straight quarters of losses, and is expected to be the highest profit in three years. Sales revenue in the third quarter of 2569 is expected at 780 million baht, up 10% QoQ and 41% YoY, driven by a recovery in the IC Packaging, PCBA & Box Build, and Optical businesses. Gross margin is expected to rise to 14.6% from 13.0% in the second quarter of 2569 and 1.4% in the third quarter of 2568. SG&A is expected at 69 million baht, flat QoQ and up 11.3% YoY. For the fourth quarter of 2569, the research team expects normalized profit to continue rising both QoQ and YoY on strong orders, particularly in the Optical business, where production for global customers is expected to ramp up gradually. Yuanta maintained its 2569 normalized profit forecast at 150 million baht, a turnaround from a loss of 146 million baht in 2568, and raised its 2570 normalized profit forecast to 282 million baht, up 88% YoY, or an average of about 70 million baht per quarter, from what it said was previously an overly conservative estimate. It expects revenue of 2.67 billion baht in 2569 and 3.204 billion baht in 2570, with EBITDA of 359 million baht and 510 million baht respectively. Core EPS in 2570 is put at 0.34 baht, up 88.1%. Yuanta noted that SMT's valuation remains a laggard, with the stock trading at a 2570 PER of about 18 times, while leading stocks in the sector trade in a range of 27 to 64 times. However, SMT's key risks are its high reliance on a single major customer and volatility tied to the industry cycle.

ICAPE Group reported first-half 2026 consolidated revenue of €113.3 million, up 12.5% from the restated €100.7 million a year earlier, and raised its full-year 2026 consolidated revenue growth target to at least 18% from the previous 12%. The French printed circuit board distributor said organic growth was 12.3% in the half and 18% excluding currency effects, with second-quarter growth of 22.9%, while EBIT came in at €4.7 million and the EBIT margin was 4.1% for the half, including 6% in the second quarter, keeping the company on track for its roughly 6% full-year EBIT margin target. Net income attributable to the group rose to €1.6 million from €1.1 million in the first half of 2025, and recurring net income attributable to the group was €3 million. The order backlog reached a record US$134.9 million as of 25 September 2026, up 44% from US$93.6 million at the end of June 2026 and up 133% from 30 September 2025, while net financial debt stood at €27.6 million at 30 June 2026, down from €28.8 million at 31 December 2025, in compliance with banking covenants. The revised annual target combines organic revenue growth of around 18%, up from a previous range of 6% to 8%, with approximately €5 million in additional revenue from external growth by the end of 2026, down from the €28 million previously targeted after a transaction under way since the start of the year failed to close in July. ICAPE will present its new medium-term operational, strategic and financial targets at a Capital Markets Day on 24 November 2026.

Krungsri Securities Public Company Limited has maintained its Buy rating on KCE Electronics Public Company Limited, or KCE, and raised its target price to 97 baht from 68 baht, citing higher earnings estimates and a positive view of the product price-increase cycle. The research team said KCE, as a major manufacturer of printed circuit boards, or PCB, for the automotive industry, is entering an upcycle in product pricing after raw material costs, especially copper, continued to rise. The company plans to raise PCB selling prices by about 9-10% in line with higher raw material costs, and there is evidence supporting the possibility that KCE will raise PCB selling prices again in October 2026, with the additional October price increase now included in the estimates, compared with earlier expectations of increases in July and January 2027. The research team therefore raised its profit estimates for KCE in 2026 and 2027 by 5% and 28% respectively, expecting 2027 profit to grow about 82% from 2026, which is expected to grow around 77%, driven by higher revenue and gross margin expansion. KCE also has a cost advantage over competitors because it owns its laminate production facilities. These estimates do not yet include revenue from Tesla, which, if it materialises as planned, would be additional upside to future estimates.

Krungsri Securities has raised its recommendation on the electronics sector to Bullish from Neutral, citing three reasons: all three companies, DELTA, HANA and KCE, have only a small share of revenue from the domestic market and export mainly, amid rising global demand for both AI-related and non-AI products; earnings for every company in the sector are likely to keep improving in the third quarter of 2026; and the sector's total profit is expected to grow 52% in 2027, accelerating from 42% in 2026. DELTA's profit is forecast to grow 51% in 2027 from 42% in 2026, KCE is expected to grow 82%, accelerating from 77%, and HANA is expected to grow 45%, up from 24%. The research team also raised its profit forecasts for KCE by 5% for 2026 and by 28% for 2027 after factoring in one more product price increase in October 2026, on top of the two previously expected in July 2026 and January 2027. Krungsri has chosen DELTA and KCE as the sector's top picks, and recommends buying HANA and KCE as non-AI stocks entering an upcycle in earnings, while still preferring KCE over HANA because it operates further upstream and manages raw material costs better thanks to owning its own laminate production plant. It set target prices of 320 baht for DELTA, 64.60 baht for HANA and 97.00 baht for KCE.