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Thailand's stock market is quietly outperforming its Southeast Asian peers, all thanks to an unexpected tech catalyst: Global artificial intelligence (AI) infrastructure demand
Leading the charge is Delta Electronics (Thailand) PCL, a manufacturer of power systems used in AI data centres.
Established in Thailand in 1988, the company is a subsidiary of Delta Electronics, Inc., a multinational electronics manufacturer headquartered in Taipei, Taiwan.
Its stock has surged more than 80% this year, officially becoming Thailand's first USD100 billion (RM410.5 billion) tech giant.
It is now large enough to eclipse the combined market value of the next four largest Thai listed companies.
Delta Electronics' meteoric rise positions it as Southeast Asia's second-most valuable company, behind Singapore's DBS Group Holdings Ltd
According to Bloomberg, while Thailand lacks the high-profile semiconductor chip champions found in Taiwan or South Korea, investors are quickly recognising its critical infrastructure role.
Data centres worldwide need heavy-duty power-management systems, and that is exactly where this Thai powerhouse has found its edge.
The company has consistently beaten market expectations every quarter over the past two years
Suwat Sinsadok, an analyst at Globlex Securities Co Ltd, noted that this impressive earnings outperformance is highly likely to continue despite global headwinds.
Tech stocks now hold a higher weighting in the local index, though Thailand remains less tech-dependent than its regional neighbours.
Other local electronic producers like Cal-Comp Electronics Thailand Pcl also rallied this year, but they remain completely dwarfed, with market capitalisations rarely exceeding USD1 billion (RM4.1 billion).
