Thai Stock Market Eyes 1,700 Points as Foreign Funds Flow In
The Thai stock market is expected to reach 1,700 points by year-end as foreign funds pour in and corporate earnings recover, with analysts recommending selective buying in power, banking, and tourism stocks.
Piriyapol Kongvanicha, investment analysis director at Bua Luang Securities, said the Thai stock market is expected to rise further in the second half of 2026, with the SET index potentially reaching 1,700 points by year-end. Foreign investment inflows are forecast to total around 160 billion baht for the full year, with 70 billion already deployed since January, while corporate earnings recover and earnings per share are expected to hit 100 baht.
The market will show K-shaped recovery, with different stock groups performing unevenly, so investors should use selective buying strategies focused on companies with strong fundamentals and growing profit prospects. Recommended stock groups include power generators (GULF, GPSC, GUNKUL, WHAUP) benefiting from foreign direct investment and green energy demand; electronics stocks (KCE) supported by global industrial recovery and AI investment; commercial banks (KBANK, KTB) offering high dividends; tourism and hotels (ERW, AWC) rebounding from second-quarter lows; consumer goods and food stocks (CBG, CPF) recovering as commodity prices stabilize.
Serimsakdi Wongsiticho, assistant managing director for financial instruments trading at Bua Luang, recommends investors with higher risk tolerance allocate 60-70% to equities (30% Thai stocks, 70% foreign stocks) and 30-40% to bonds and debt instruments, focusing mainly on Thai debt securities with some foreign exposure for risk management.