Skip to content
Learning that drives better investment decisions

Thailand Appears Third Most Attractive in Asia

Watch the video with Andrew Stotz or read a summary of the country profile on Thailand.

Four Pillars of GDP: Driven by investments and private consumption

GDP growth in Thailand is moderate, driven by investments and private consumption. Government consumption has had a slightly negative contribution but net exports have been the main drag on GDP growth in Thailand.

Slower earnings, but higher dividend yield

Analysts’ expect 2017-2019CE* EPS growth to be below the Asia ex Japan benchmark, however, dividend yield is expected to stay above Asia ex Japan.

#Thailand appears third most attractive in Asia, driven by low volatility

A. Stotz Four Elements: Thailand’s rank relative to Asia

Overall, Thailand is third most attractive in Asia considering all our four elements: Fundamentals, Valuation, Momentum, and Risk.

Fundamentals: Good return on equity (ROE).

Valuation: Moderately attractive price-to-book considering good ROE and above average dividend yield.

Momentum: Moderate price and earnings momentum in the past 12 months.

Risk: Thailand has had the lowest volatility among the 10 Asian markets we compare to as well as a relatively low beta to Asia ex Japan.

Best performance in two of the three largest sectors

Top 3 largest sectors: Financials: 17% of the market; Energy: 14%; Industrials: 12%.

Best sector & stock: Industrials: +14.6% & Airports of Thailand PCL: +27.1%.

Worst sector & stock: Information Technology: +3.6% & KCE Electronics PCL: -6.2%.

Are you investing in Thailand?

If you like our research, share it with your friends.

DISCLAIMER: This content is for information purposes only. It is not intended to be investment advice. Readers should not consider statements made by the author(s) as formal recommendations and should consult their financial advisor before making any investment decisions. While the information provided is believed to be accurate, it may include errors or inaccuracies. The author(s) cannot be held liable for any actions taken as a result of reading this article.