Electric Power: Which energy stocks are the highest this year? Choose 8 energy representatives with the highest increased profit margins.

Why Should Electric Power Stocks Be in Your Portfolio?

The electricity generation and distribution business is one of the main asset groups that investors can rely on, as electricity is a product with steady demand in both manufacturing and household consumption. The movement of energy stock prices often correlates with the economic conditions and energy policies of the country. This is why electric power stocks are often classified as (Defensive Stocks) with lower risk.

Besides relative safety, the energy sector also offers attractive growth opportunities, especially in clean energy and renewable energy. Many investors see this as a good way to generate stable income streams while contributing to sustainable social development.

Key Factors Affecting Energy Stock Performance

Company Expansion Strategies
Power plant companies with clear expansion plans, such as building new power plants, seeking joint investment partners, or entering foreign markets, are often favored by investors.

Electricity Purchase Agreements
Information on electricity purchase agreements is crucial as it reflects the stability of income streams over time. Analyzing contract durations, revenue patterns, and the reliability of counterparties is essential for evaluation.

National Energy Policies
The national power development plan (PDP) and renewable energy development plan (AEDP), set by the government, greatly influence industry direction. Companies aligned with these policies can be in a competitive position.

Electricity Demand Trends
As the economy expands, electricity demand increases, leading to new project investments and capacity additions.

Investment Approach: Differences by Power Plant Type

Private power plants are categorized into three groups based on capacity:

Large Private Power Plants (IPP): Capacity of 90 MW or more. They are usually major market players with sufficient capital to invest in large projects.

Medium Private Power Plants (SPP): Capacity between 10-90 MW. Comprising operators not heavily burdened, capable of efficient operations.

Small Private Power Plants (VSPP): Less than 10 MW. Typically serve local areas or supplement larger projects.

Types of Energy: Diverse Options

Solar Power: Represents clean energy, with higher profit margins and environmentally friendly. Most companies in this sector are supported by government policies.

Hydropower: Project stability depends on water resources. Regions with sufficient water sources are good investment locations.

Natural Gas Power: Considered efficient and relatively clean, but global market prices are volatile.

Nuclear Power: Has high production potential but involves safety concerns and government policies.

Other Renewable Energies: Wind, biomass, and ocean waves are renewable energies with future development potential.

8 Energy Stocks: Comparative Analysis

Comparison table of 8 leading energy companies

1. BANPU – Regional Energy Leader

Banpu Power operates under the principle “Powering Society with Quality Megawatts,” with a total capacity of 3,656 MW, including 11.20% from renewable energy.

In the past 6 months, the company reported revenue of 90,673.73 million Baht and net profit of 2,488.71 million Baht. The current stock price is 111.50 Baht, with a 5.88% decline compared to last year. Analysts from investing.com set the trading range at 5.00-8.00 Baht, with an average of 6.75 Baht.

2. GULF – Strong Performance

Gulf Energy Development is a leading energy producer expanding into various sectors: gas, renewable energy, and infrastructure.

Recent 6-month results show revenue of 64,896.44 million Baht and net profit of 8,239.79 million Baht, demonstrating financial strength. The stock is at 66.50 Baht, up +54.49% since the beginning of the year. The company recently announced a 5-year renewable energy investment plan worth over 90,000 million Baht. Analysts from investing.com estimate an average price of 56.92 Baht (Range 49.00-68.00 Baht).

3. GPSC – Innovative Company Supported by Loans

Global Power Synergy operates under the 4S strategy: producing and selling electricity, steam, and industrial water.

In 6 months, revenue reached 48,426.98 million Baht, with net profit of 2,292.55 million Baht. The current stock price is 46.25 Baht, down -3.09% since the start of the year. Recently, the company received approval for a long-term loan of 7,000 million Baht from financial institutions, which will accelerate clean energy projects aligned with Net Zero goals. The average analyst target is 53.46 Baht (Range 43.50-61.00 Baht).

4. BGRIM – Diversified Business Management

B.Grimm Power has expanded beyond energy into healthcare, lifestyle, real estate, and digital technology.

Six-month revenue was 28,344.78 million Baht, with net profit of 607.17 million Baht. The stock price is 23.40 Baht, down -12.66% YTD. Recently, the company signed a solar power purchase agreement with a government agency, a key growth gateway. The average analyst price is 26.66 Baht (Range 19.60-31.06 Baht).

5. EA – Leader in Clean Energy and Electric Vehicles

Pure Energy operates under the vision “Energy for The Future,” integrating latest technologies in clean energy, batteries, and electric vehicles.

In 6 months, revenue was 10,368.81 million Baht, with net profit of 1,430.44 million Baht. The stock is at 7.80 Baht, down -81.36% YTD. Despite the sharp decline, the company continues to develop Thai-made electric trucks for local entrepreneurs. Analysts estimate the price range at 5.00-35.00 Baht, with an average of 17.33 Baht.

6. SSP – Renewable Energy Expert

Sriracha Power focuses on renewable energy leadership, expanding assets over 30,000 million Baht in the future across Asia.

Six-month results show revenue of 1,709.9 million Baht and profit of 326.89 million Baht. The stock price is 5.90 Baht, down -25.62% YTD. The company maintains a “BBB+” credit rating from TRIS, reflecting strong financials and long-term growth. Renewable power plant expansion projects are underway. Analysts’ target price is 8.90 Baht, over 50.85% higher than current.

7. CKP – Additional Investment from Construction Business

CK Power started as a major construction contractor but has expanded into energy, including hydro, co-generation, and solar projects through six subsidiaries.

Six-month results: revenue of 5,111.09 million Baht, loss of 387.05 million Baht. Stock price is 3.70 Baht, up +19.02% YTD. Analysts’ average target is 4.7 Baht (Range 4.35-5.20 Baht).

8. GUNKUL – P2P Energy Trading Platform

Gunkul Engineering grew from a 1 million Baht fund to a business valued at over 30 billion Baht, with expertise in renewable energy. Recently launched Gunkul Spectrum, a peer-to-peer energy trading platform (Peer-to-Peer Energy Trading).

Six-month results: revenue of 5,002.69 million Baht, profit of 761.43 million Baht. Stock price is 2.80 Baht, up +2.86% YTD. Going forward, Volt will expand services in B2C and Marketplace formats, with 9-10 energy products under development. Analysts’ estimate is 3.76 Baht, with a price range of 2.70-5.00 Baht.

Reasons Investors Focus on Energy Stocks

Returns and Risks: Power stocks have manageable risk levels and often outperform bank deposits.

Consistent Profits: The energy industry generates continuous income due to steady electricity demand, creating long-term profit opportunities.

Growth Trends: Businesses may build new plants or increase capacity to meet expanding demand, often supported by government energy policies.

How to Buy Energy Stocks: Two Channels

Channel 1: Thai Stock Market via Broker
To buy Thai stocks like GULF or BGRIM, open an account with a broker such as Bualuang Securities, Kasikorn Securities, or Maybank Kim Eng. Conditions and fees vary by broker. Common trading platforms include STREAMINGPRO and ASPEN.

Minimum purchase is 100 shares. For example, buying 100 GULF shares at 50 Baht each requires an investment of 5,000 Baht. If the price rises to 55 Baht, profit is 500 Baht.

Channel 2: CFD via Foreign Broker
Trade energy stocks via CFD (Contract for Difference). Advantages include:

• Ability to trade both rising and falling markets
• Leverage to use less capital but gain higher profits
• Trading various assets (Stocks, Gold, Currencies, Indices)
• Real-time price data

Brokers like MiTrade offer services via website, mobile, and desktop, with zero commission, low spreads, and minimum deposits. New customers can receive bonuses and a free demo account with $50,000.

Note: Investing involves risks and may not be suitable for everyone.

Summary: Why Should Electric Power Stocks Be in Your Portfolio?

Energy stocks are considered “safe” assets because electricity is an indispensable service at all social levels. Energy stability is a concern for everyone.

For conservative investors, investing in power stocks is a smart way to diversify risk. For those willing to accept higher risk, clean energy and renewable energy offer promising growth opportunities. With careful decision-making and proper research, investors can allocate part of their portfolio to energy stocks for long-term value.