Central Pattana Public Company Limited

CGS International Thailand, or CGSI, has raised its year-end 2026 target for the SET Index to 1,690 points from 1,630 points, while lifting its market earnings per share estimate for this year by 8 percent. The move follows a 10 percent year-on-year and 14 percent quarter-on-quarter increase in combined net profit for the Thai listed companies it covers in the second quarter of 2026, led by the energy and petrochemical sectors. Excluding those two sectors, however, combined net profit fell 25 percent from a year earlier and 6 percent from the previous quarter. The research team recommends overweight positions in healthcare, tourism, consumer products, and industrial estates. It also updated its top picks, removing ERW and CRC and adding CPALL and PTT. The latest list consists of BH, PR9, THAI, PTT, CPALL, CPN, AMATA, WHA, GULF, TRUE, TFG, KBANK, MTC, and TIDLOR.

CGSI has raised its target price for CPN shares to 76 baht and maintained a buy recommendation, after lifting its normalised earnings per share estimates by 3.1 to 3.2 percent for 2026 to 2028. The revision reflects assumptions of a higher gross margin in the rental business, stronger hotel and property revenue, and a larger share of profit from CPNREIT. Normalised earnings per share in 2026 are expected to grow 14.7 percent, supported by rental revenue growth of 7.2 percent and a rental gross margin rising to 61 percent. Hotel and property revenue is projected at 6.4 billion baht, up 1.2 percent, helped by the opening of three more Go! Hotel locations and the Phyll Nakhon Pathom condominium in the second half of 2026, as well as the transfer of a condominium backlog from three projects worth 1.2 billion baht in the fourth quarter of 2026.

UBS has raised its target for the Thai stock market index to 1,680 points in its base case. In the best case, the index could climb to test a high of 1,840 points, while in the worst case it could fall to 1,460 points. The bank also recommends six top picks: CP All, Central Pattana, Gulf Energy Development, Krung Thai Bank, PTT, and True Corporation. At the same time, it has removed Advanced Info Service, Bangkok Dusit Medical Services, Berli Jucker, and Asset World Corp from its recommended list. Trading data from the start of the year through 17 August 2026 shows UBS has accumulated net sales of 5.50 billion baht, with net sales of 3.24 billion baht in August alone. Mongkol Puangpetra, managing director of Apollo Wealth Securities, views the 1,680-point level as a target many parties have already assessed, but reaching 1,820 points would be very challenging. Even though second-quarter profit for the Thai stock market hit a record high of about 380 billion baht, and trailing twelve-month profit reached 1.2 trillion baht, he recommends gradually selling to lock in profits when the index approaches 1,630 to 1,650 points, and keeping an eye on PTT and PTT Exploration and Production, which may pay higher-than-normal dividends.

KGI Securities Thailand has raised its 2026 SET index target to 1,820 points, seeing upside of about 12% from current levels after its latest earnings-per-share estimate revisions and an increase in its target price-to-earnings multiple to 14.8 times, which is the 10-year average minus 0.5 standard deviation. In the second quarter of 2026, combined profit of companies under KGI's coverage was 302 billion baht, up 13% from a year earlier and from the previous quarter, about 10% above the Bloomberg consensus. But excluding the energy and petrochemical sector, which benefited from surging oil prices and wider product spreads because of the US-Iran war, quarterly profit would have fallen 26% from a year earlier and 6.2% from the previous quarter. The sharp year-on-year profit decline was due to an unusually high profit base at GULF in the second quarter of 2025, when a large one-time gain was booked. KGI views the new target as quite challenging because the earnings estimate upgrades are concentrated in the energy sector, which is cyclical and trades at a lower price-to-earnings multiple than other sectors, and the best quarter for energy may already be behind us. As a result, only a few large domestic stocks still offer attractive risk-reward, such as CPALL, CPN, KBANK, KTB and GULF.

KGI Securities has raised its 2026 SET index target to 1,820 points after second-quarter 2026 profit for companies under its coverage came in 10% above expectations. Combined profit was 302 billion baht, up 13% from both a year earlier and the previous quarter. Excluding the energy and petrochemical sectors, however, profit fell 26% year-on-year and 6.2% quarter-on-quarter, due to a high base from GULF's special profit in the second quarter of 2025. The research team said 40% of stocks under coverage beat earnings expectations, 41% were in line, and 20% missed. Electronics, transport, and banking delivered strong results, while tourism and media were broadly neutral. Momentum in earnings-per-share upgrades is peaking and is expected to stabilise over the rest of the year. The new target still implies 12% upside from current levels, but it is quite challenging because earnings upgrades are concentrated in the energy sector, which is cyclical and trades at a lower price-to-earnings ratio than other sectors. Stocks that still offer upside to target prices include CPALL, CPN, KBANK, KTB, and GULF.

CGS International said rising oil prices and the 30-year US government bond yield hitting a 19-year high of 5.31% are weighing on global investment sentiment. It sees the SET index as likely to consolidate in the 1,610-1,635 point range, and recommends TIDLOR and CPN as top picks. TIDLOR reported second-quarter 2026 net profit of 1.53 billion baht, up 18.3% from a year earlier but down 5.0% from the previous quarter, and CGSI raised its 2026-2028 earnings per share estimates by 7.6-8.1%. CPN is expected to see shopping mall rental income and residential business revenue in the fourth quarter of 2026 reach quarterly highs for the year, and it plans to inject shopping malls into the CPNREIT trust in mid-2027.

TTB Wealth Securities maintains an Overweight recommendation on the retail sector, assessing that sector earnings have passed their trough and the contraction in same-store sales is coming to an end. It expects combined earnings per share of the retail companies under its coverage to grow 12 percent year-on-year in the second quarter of 2026, although down 16 percent quarter-on-quarter due to seasonal factors, and forecasts a continued recovery in the second half of 2026. Key drivers include a return to same-store sales growth, margin expansion from better product selection, and cost savings. The broker expects home improvement and furnishing retail stocks, namely GLOBAL, DOHOME, and HMPRO, as well as CRC, to show the strongest recovery, while CPN, CPALL, and COM7 continue to grow well on successful business strategies. For the building materials and home furnishing retail group, the securities firm estimates EPS will grow 37 percent in the second quarter of 2026, after earnings contracted continuously during 2023 to 2025, supported by better margins, a narrowing decline in same-store sales growth, and favorable product pricing from inflation. GLOBAL is seen as the standout, with earnings expected to grow 84 percent, driven by a higher proportion of house-brand products, cost control, and favorable pricing. CRC is expected to post 36 percent earnings growth in the second quarter of 2026, thanks to business strategy adjustments that support both same-store sales and margins, as well as lower marketing and interest expenses. Meanwhile, CPN is forecast to grow earnings by 15 percent, CPALL by 7 percent, COM7 by 30 percent, and MOSHI by 19 percent, with these companies seen as continuing to gain market share and expand margins. On the other hand, CPAXT is estimated to see earnings fall a further 17 percent due to weak same-store sales and margin compression from consumers trading down to lower-priced goods. For BJC, although earnings are expected to rise 12 percent from the acquisition of a wholesale business in Vietnam, the core BigC business remains weak with negative same-store sales growth. MRDIY is forecast to grow earnings by only 13 percent, below expectations, despite rapid store expansion. TTB Wealth Securities says the trend for the second half of 2026 will strengthen as the economy improves, maintaining a positive bias on building materials and CRC, and selecting CPN, GLOBAL, and CRC as top picks in the retail sector. For recommendations and target prices, stocks rated BUY are CPN with a target price of 75 baht, GLOBAL at 9 baht, CRC at 31 baht, CPALL at 62 baht, COM7 at 34 baht, DOHOME at 4.50 baht, HMPRO at 9.50 baht, MOSHI at 50 baht, and MRDIYT at 12.20 baht. CPAXT is rated HOLD with a target price of 14 baht, and BJC is rated SELL with a target price of 12.50 baht.

TISCO Securities maintains a 'buy' recommendation on Central Pattana Public Company Limited, or CPN, with a target price of 83 baht, assessing that core business momentum remains strong despite some seasonal impact on second-quarter 2026 results. CPN reported net profit of 4.75 billion baht for the second quarter of 2026, up 10.3 percent year-on-year but down 4.4 percent quarter-on-quarter, in line with TISCO and Bloomberg Consensus estimates. Rental income hit a new record high for the fourth consecutive quarter, serving as the main driver of year-on-year growth. Rental revenue rose 8 percent to 11.53 billion baht, supported by income recognition from new shopping centers—Central Khon Kaen Campus, Central Park, and Central Krabi—as well as growth at existing branches and the completion of mall renovation projects. The gross margin of the retail leasing business increased to 60.8 percent from 59.2 percent a year earlier, though it declined from 61.7 percent in the previous quarter due to higher electricity costs during summer and seasonal factors in the shopping center business. Selling and administrative expenses rose 8 percent, pushing the SG&A-to-sales ratio to 32.2 percent from 28.2 percent. However, share of profit from associates jumped 46 percent to 741 million baht, boosted by the asset sale of the Rama 2 project into CPNREIT in August 2025. Excluding after-tax interest income of 99 million baht from the Central Rama 2 lease agreement, core profit grew 19 percent year-on-year. Occupancy rates across 45 shopping centers and 16 community malls remained high at 91 percent on total leasable area of 2.4 million square meters, even with the opening of Central Khon Kaen Campus in May 2026. Margin expansion was supported by revenue from new malls, higher occupancy at Central Pinklao and Central Chaengwattana after renovations, and efficiency measures such as solar rooftop installations. The hotel business posted a 5 percent revenue increase to 464 million baht, driven by the opening of three new GO! Hotels, although the occupancy rate dipped to 74 percent from 75 percent. The residential business saw revenue rise 29 percent to 640 million baht, thanks to transfers of low-rise projects which accounted for 59 percent of total transfers, while condominium transfers declined due to a reduced backlog at ESCENT Nakhon Sawan and ESCENT Nakhon Pathom. TISCO notes that Central Northville opened on July 3, 2026, with approximately 40,000 square meters of leasable area, and the luxury zone expansion at Central Phuket is scheduled for the fourth quarter of 2026, along with The Central project in the first quarter of 2027, which will support continued growth in the second half of 2026 and the following year. The research team views the sustained record-high rental income, elevated occupancy rates, and expanding retail margins as reflecting structural growth from new leasable space and tenant quality upgrades. Key risks, however, remain from slowing consumer purchasing power, volatile energy costs, and economic conditions that could affect shopping center spending.

Central Pattana Public Company Limited, or CPN, reported a second-quarter 2026 net profit of 4.75 billion baht, up 10 percent from the same period last year and above market expectations, driven by growing shopping mall revenue and strong gross margins. Krungsri Securities and Kasikorn Securities both maintained buy recommendations with target prices of 80.00 baht and 79.50 baht respectively, seeing continued profit growth from new projects, rental increases, and the high season for condominium transfers at year-end. Core profit for the first half of 2026 was approximately 9.6 billion baht, representing about half of the full-year estimates of both brokers, who expect profit to remain at a similar level in the second half despite no new project openings this year.

Central Pattana is adjusting its strategy to drive its retail-led mixed-use model, focusing on expanding its provincial portfolio in new growth cities. It will open two shopping centres and mixed-use projects, Central Khon Kaen Campus and Central Northville, in the second quarter of 2026, pushing core business revenue to a record high for the fourth consecutive quarter. In the office segment, the Central Park Offices project in the Super Core CBD of Silom–Rama IV has attracted global financial institution Deutsche Bank from Germany, which has chosen it as its new headquarters in Thailand, reflecting multinational investor confidence. Meanwhile, the Phyll Khon Kaen condominium project achieved a 100% sell-out within three days during the presales period, generating over 1.6 billion baht in sales. The company continues to maintain strict financial discipline, resulting in a steadily declining net debt-to-equity ratio, and has announced a dividend payment for its 2025 performance at 2.40 baht per share, the highest level on record.

CGSI assesses listed-company earnings for the second quarter of 2026, with the petrochemical sector driving growth while the communication and tourism sectors may disappoint. The firm maintains its year-end 2026 SET Index target at 1,630 points and selects BH, PR9, THAI, ERW, CRC, CPN, AMATA, WHA, GULF, TRUE, TFG, KBANK, MTC, and TIDLOR as top picks. The research team notes that the non-bank sector will see net profit decline 14 percent year-on-year and 7 percent quarter-on-quarter in the second quarter of 2026, based on Bloomberg consensus estimates. The petrochemical sector is likely to be supported by higher spreads, while the transport sector, especially airlines, tends to weaken due to rising fuel costs stemming from the situation in the Middle East. In addition, the ICT and tourism sectors face risks of disappointment, as Bloomberg consensus estimates of strong net profit growth of 26 percent year-on-year for ICT and 15 percent year-on-year for tourism are unlikely to materialize amid a still-weak economy and a 4 percent year-on-year drop in foreign tourist arrivals. Tensions in the Middle East and high oil prices have caused Thailand to face twin deficits, with a trade deficit of 12.4 billion US dollars and a current account deficit of 13.3 billion US dollars in the first half of 2026. Elevated oil prices also increase the risk of government price intervention, which would pressure margins for downstream oil and gas businesses and could push inflation higher in the second half of 2026. While the Bank of Thailand views current inflation as likely temporary, the research team believes the central bank will not raise interest rates at the Monetary Policy Committee meeting on August 26, 2026. Regarding the Senate election collusion case, the Election Commission expects to conclude the investigation by the end of August, but the timeline may be extended. The most likely scenario is that charges will be filed against only some individuals, which would negatively affect market sentiment, and the broader legal proceedings would take longer than before. The SET currently trades at a 12-month forward price-to-earnings ratio of 16.7 times, but this drops to 14 times when excluding DELTA, which has a forward P/E of 83 times. CGSI maintains its year-end 2026 SET Index target at 1,630 points. Positive factors that could support the market include an easing of geopolitical tensions and lower oil prices, while downside risks are the Election Commission filing charges against key politicians from coalition parties and a sharp slowdown in tourist arrivals.

Tisco Securities has raised its 2026 target for the Stock Exchange of Thailand index to 1,670 points from 1,600 points, viewing the Thai stock market as a safe haven amid Middle East tensions and supported by improving economic fundamentals. It recommends overweight positions in banking, transport, healthcare, and tourism sectors in the second half of the year. The Tisco Economic and Strategy Analysis Centre has revised its GDP forecast for next year to 2.1 percent from 1.7 percent, after the Constitutional Court ruled that the 400 billion baht emergency loan decree is constitutional, allowing the inclusion of the impact from the latter 200 billion baht loan for energy transition in the estimates. The new SET Index target of 1,670 points is based on a forward price-to-earnings ratio of 17.6 times and SET earnings per share for 2026 and 2027 of 88.4 baht and 95.0 baht, respectively. For August, five-year and ten-year historical data show the SET Index has a 70 to 80 percent chance of closing positive, with average returns of 1.5 to 2.9 percent, supported by seasonal speculative buying around second-quarter earnings announcements, expectations of interim dividends, and the Thailand Focus event in late August, which historically has helped the SET Index rise in the two weeks following the event with a nearly 70 percent chance of a positive close and an average return of 1.4 percent. Top stock picks for August are CENTEL, COM7, CPN, GULF, KBANK, KTB, and PTT, with support levels at 1,570 and 1,540 points and resistance at 1,630 to 1,640 and 1,660 points. For foreign investment via depositary receipts, TENCENT80 and TRIPCOM80 are recommended.

The Thai stock market during 27 to 31 July 2026 fell below 1,600 points before buyback orders came in to support the market. DELTA was the main drag after its second-quarter 2026 earnings came in below expectations. Analysts downgraded the stock to Reduce and cut the target price to 244 baht from 265 baht, after lowering 2026 to 2027 profit forecasts to reflect gross margin pressure from higher raw material costs. On the supportive side, hyperscaler earnings continued to show strong investment momentum, and other sectors helped steady the market. CPN surged on expectations of second-quarter 2026 net profit of 4.5 billion baht, up 4 percent year-on-year, while banking stocks such as KBANK and KTB were supported by the investment cycle.

Central Pattana Public Company Limited, or CPN, has signed a memorandum of understanding with the Korea-Thailand Tourism Promotion Association, or KTPA, to attract Korean tourists through the soft power of Thai cuisine. The partnership will curate quality Thai restaurants and menus from Central Food across 16 Central shopping centers nationwide, covering key tourist destinations such as CentralWorld, Central Pattaya, Central Phuket, and Central Chiang Mai. The signing ceremony was attended by Mr. Kim In-ho, President of KTPA, and representatives from leading Korean travel companies, reflecting a collaboration that spans the full range of tourist markets including independent travelers, group tours, incentive trips, and golf tours. Ms. Pattra Sappayaprapa, Assistant Managing Director of the Food Court Business at Central Pattana, said that Thai food is one of the key reasons tourists choose to visit Thailand, and this partnership will help deliver meaningful experiences while supporting Thai entrepreneurs and sustainably boosting the tourism economy.

Land and Houses Securities expects CPN's normalized profit in the second quarter of 2026 at 4.641 billion baht, up 18.9 percent from the same period last year but down 4.8 percent from the previous quarter. The year-on-year growth was supported by revenue from new shopping centers and higher rental rates, while the quarter-on-quarter decline resulted from the passing of the high season, higher electricity costs, and increased depreciation. The outlook for the second half of 2026 is expected to recover from full-period recognition of new project income across shopping centers, hotels, and residential properties, although margins may be constrained by initial expenses. The research team maintains a buy recommendation with a target price of 77.40 baht per share, based on discounted cash flow, reflecting an upside of about 14 percent and an estimated dividend yield of approximately 3 percent.

CPN shares rose 4.26 percent to 67.25 baht after Krungsri Securities assessed third-quarter 2026 performance would grow both year-on-year and quarter-on-quarter, supported by an expansion of leasable area totalling about 77,000 square metres from the opening of several new shopping centres early in the year. Gross margin is expected to improve to around 59.2 percent thanks to economies of scale and efficient cost management. In the second half of 2026, the company plans to launch new projects spanning shopping centres, hotels, and residential properties, which will underpin continued growth. The research team views these positive factors as likely to drive 2026 net profit to a potential new record high.

Central Pattana Public Company Limited, or CPN, revealed that its performance outlook for the second half of 2026 remains on track, with confidence that full-year revenue will grow at a high single-digit rate and overall occupancy will be maintained at around 90 percent. The company recently launched the mixed-use project Central Northville, Thailand's first Longevity Destination prototype, and plans to consider selling it into a REIT in the future once cash flows have stabilized. All new projects for this year have been fully opened, with a focus now on renovating existing properties such as Central Rattanathibet, and preparing to start a major project next year, Central Central, with an investment value of over 11 billion baht. The shopping center portion is scheduled to open in the second quarter of 2027. The hotel business remains on target to add six new hotels by the end of 2026, with the recent opening of GO Hotel Nakhon Sawan and the upcoming opening of GO Hotel Chiang Rai in early August. An analysis from Kasikorn Securities Public Company Limited indicates that both new projects will help strengthen the profit base, with a buy recommendation and a target price of 75 baht.

Finansia Syrus Securities has raised its target for the SET Index to 1,710 points by mid-2027, based on an estimated average earnings per share of 100.5 baht and a target PER of 17 times. The research team lifted its 2026 earnings per share estimate by 3 percent to 99 baht, and its 2027 estimate to 102 baht, reflecting growth of 13 percent and 4 percent from the prior year, respectively. It also sees the Thai economy recovering steadily and foreign capital flows having a chance to return to the Thai stock market, as foreign investors' holdings of Thai equities remain below past peaks. Recommended top picks include BA, BBL, BDMS, CPALL, CPF, CPN, ERW, GULF, SAPPE, STA, and TIDLOR.

US stocks closed sharply lower overnight, with the Dow falling 507 points or 0.97% and the Nasdaq dropping 2%, after Brent crude oil prices surged 7% following attacks by Yemen's Houthi group on two Saudi oil tankers in the Red Sea, stoking inflation fears. Tech stocks fell heavily, with Google down 7% and Meta down 3.4%, while defensive plays like Eli Lilly gained 1.97% and Johnson & Johnson added 1.4%. Meanwhile, the US announced tariff hikes on imports from 60 countries including Thailand at rates of 10% to 12.5% under Section 301, citing failure to curb forced labor, a factor pressuring Thai export stocks such as ITC and Thai Union, though a weaker baht provided some support. Pi Securities estimates the SET index range today at 1,620 to 1,650 points and recommends defensive stocks like Advanced Info Service, Bangkok Chain Hospital, Bangkok Dusit Medical Services, CP All, and Central Pattana, as well as energy and petrochemical plays such as PTT, PTT Exploration and Production, PTT Global Chemical, and Thai Oil.

Analysts at InnovestX Securities say the SET Index has risen over 31.2% from the start of the year to date, supported by foreign fund flows into electronics on the AI theme and better-than-expected domestic fundamentals. But at 1,650 points, the market is starting to face tight valuation constraints, especially for the large-cap stocks that have led the rally, where foreign ownership has exceeded the five-year average. They therefore expect a rotation of funds into laggard stocks where foreign ownership and valuations are below average, while earnings are still growing well. The short-term strategy recommends switching into laggard stocks via two themes. The first is Earnings Play, focusing on stocks with strong expected second-quarter 2026 earnings growth and a robust second half, such as ADVANC, CPN, GULF, PR9, SCGP, and TIDLOR. The second is Foreign Underowned Play, focusing on SET50 stocks where foreign ownership is below the five-year average and earnings momentum is good, such as BEM, CPALL, HMPRO, MTC, OR, TRUE, and TU.

The Ministry of Finance has disclosed progress on the Thailand Individual Savings Account scheme, or TISA, and is preparing to scrap the tax-benefit multiplier so that all citizens receive equal tax deductions. Clearer details and the deduction limit framework are expected in September. The research arm of TTB Wealth Securities views this as positive for the overall stock market, as it will encourage more people to invest in equities, and positive for 14 high-dividend stocks: ADVANC, KTB, KKP, KTC, AMATA, PIN, THANI, SAK, CPN, HMPRO, PTG, SIRI, SPALI, and SAT.

TTB Wealth Securities views the SET Index as still in a long-term uptrend, maintaining a year-end target of 1,720 points. New investment cycles from both the public and private sectors continue to be driving factors, while pointing to several signs of recovery. Bank lending has returned to growth for four consecutive months after contracting for nearly three years. Government budget disbursement has recovered from its low point, rising 8 percent year-on-year in the first nine months of fiscal year 2026. Money supply in the first five months of 2026 grew 5 percent year-on-year. Second-quarter 2026 earnings are trending better and have limited impact from the trade war, supporting upward earnings revisions for the SET. Domestic car sales are starting to recover, with the first five months of 2026 growing 14 percent year-on-year. Exports grew 17 percent year-on-year, and non-oil imports grew 35 percent year-on-year in the first five months of 2026. TTB Wealth has adjusted its Siam Senses portfolio, recommending 10 stocks: AMATA, AOT, BGRIM, CPN, DELTA, GLOBAL, GULF, KTB, STECON, and TRUE, with a buy recommendation for this round.

Analysts have selected seven stocks expected to post second-quarter earnings growth. PSL may swing from a loss to strong profit as dry bulk freight rates surge. RCL benefits from container shortages due to port congestion and can levy additional special fees. AMATA is scheduled for large land transfers in both Thailand and Vietnam, supported by electric vehicle and data center production bases. ERW maintains high average revenue per room and continues expanding its Hop Inn branches. MRDIY's profit keeps racing ahead from new branch openings with quick payback and robust same-store sales. CPN gains from increased mall foot traffic, boosting rental income and sales share. COM7 is generating new revenue from retail media, using over 1,400 stores nationwide as advertising billboards with high gross margins.

Ikano Centres and Central Pattana are investing THB 6 billion to expand Megabangna shopping centre, adding 170,000 square metres of gross building area including retail space and 1,750 car parks by the third quarter of 2028. The expansion will bring Megabangna's developed area to around 800,000 square metres, marking the halfway point of a long-term mixed-use masterplan that spans more than 128 acres, comprises over 1.3 million square metres of development, and has a projected total project value of THB 70 billion. The project aims to create a nature-led, experience-led destination for families and communities in Eastern Bangkok, one of the capital's fastest-growing urban districts. Megabangna has welcomed more than 670 million visits over 14 years and maintains 100% occupancy.