บทวิเคราะห์ (Research)

Small price correction YTD is an opportunity We reiterate BUY on CCET with our DDM-derived TP of THB9.91 and as the company remains our Top Pick in the Thai ETRON sector. Despite the share price decline of 14% YTD, caused by uncertainty about the trajectory of the trade war (CCET would benefit from higher US tariffs on China and Vietnam) and concerns about an AI growth slowdown, we make no changes to our FY25/26E core earnings forecasts. Thus, we believe the decline in share prices provides an opportunity to accumulate, with our TP implying 28.2x FY25E PE, equal to +0.5SD its three-year average. CCET is poised to see solid sales growth in FY25E - its four new factories have finished construction (87% rise in capacity) and we estimate 25% of the new capacity has customers secured for FY25E. Furthermore, we see upside risk to earnings from 1) CCET’s new factory in Brazil, which will open by 1H25E (ahead of previous guidance for 2H25E), 2) additional orders within its new factory capacity, and 3) reduced costs from further automation of its factories, especially after formalising its MOU deal with Delta Electronics PCL. (DELTA TB, CP THB138, SELL, TP THB119).