Weekly | Why Delta TH SDR Lead the Market this Week?

As of the close on Friday, $Straits Times Index(STI.SI)$ closed at 3,381.45 points, down 1.31% points this week.

During the last 5 trading days, $Delta TH SDR(TDED.SI)$, $Keppel DC Reit(AJBU.SI)$, $AIS TH SDR(TADD.SI)$, $t PTTEP TH SDR(TPED.SI)$ and $CapLand India T(CY6U.SI)$ are the top 5 weekly gainers, up 10.43%, 10.3%, 6.55%, 6.23% and 5.77% respectively.

$Riverstone(AP4.SI)$, $NIO Inc.(NIO.SI)$, $Raffles Medical(BSL.SI)$, $SIA(C6L.SI)$ and $Top Glove(BVA.SI)$ are top 5 decliners of SGX stocks which market capital above S$1 Bln.

Below are key analyses of the TOP 5 gainers:

1. $Delta TH SDR(TDED.SI)$

• Last week, Delta Electronics announced its Q2 financial report. The company’s consolidated sales revenues were NT$103,444 million, and the net income after tax was NT$9,948 million. The company’s earnings per share were NT$3.83, showing growth compared to NT$3.14 per share in the same period last year and NT$2.22 per share in the first quarter of this year. The cumulative earnings per share for the first half of the year were NT$6.05, indicating impressive performance with more than half of the capital stock earned.

• The company also disclosed its intention to acquire real estate in Zhubei City, for a total transaction price of NT$1,366.88 million for business development purposes.

• Additionally, at a recent earnings conference, Ping Zheng, CEO of Delta Electronics, announced that the company's AI server liquid cooling products would start shipping in the third quarter.

2. $Keppel DC Reit(AJBU.SI)$

• Keppel DC REIT Management, the manager of Keppel DC REIT, has completed the acquisition of a data center located in Tokyo, Japan, according to a Wednesday filing on the Singapore Exchange.

• The acquisition raises the REIT's assets under management to SG$3.9 billion, spanning 23 data centers across 10 countries in Asia Pacific and Europe.

• According to the Wall Street Journal, Keppel DC REIT is likely to continue seeking data center acquisition opportunities, with preferred markets being Singapore and Japan. UOB Kay Hian analyst Jonathan Koh notes in a research report that for Singapore, Keppel DC REIT is leveraging its sponsor Keppel's pipeline, with the REIT expected to acquire 'KDC SGP 7,' a colocation data center in Singapore.

• In terms of target price, UOB Kay Hian has raised Keppel DC REIT's target price to SG$2.09 from SG$1.98. The REIT has an average rating of outperform and price targets ranging from SG$1.65 to SG$2.29, according to analysts polled by CapitalIQ.

3. $AIS TH SDR(TADD.SI)$

• Last week, Advanced Info Service (AIS), one of Thailand's largest mobile network operators, announced plans to deploy Oracle Alloy and launch AIS Cloud, the country’s first locally owned and operated hyperscale cloud. Oracle Alloy will provide AIS' customers and all enterprises in Thailand, including the public sector, access to more than 100 Oracle Cloud Infrastructure (OCI) services, including the latest artificial intelligence (AI) capabilities. Oracle is the only hyperscaler capable of delivering AI and a full suite of over 100 cloud services across dedicated, public, and hybrid cloud environments globally.

• Additionally, AIS eSports STUDIO at Samyan Mitrtown announced an upgrade to the gaming experience through the AIS 5G intelligent network and the fastest fiber broadband in Thailand at 5000/5000 Mbps.

• Recently, AIS signed a memorandum of understanding with Singtel and Maxis, leading telecommunications companies in ASEAN, marking the first international telecommunications collaboration on APIs.

4. $t PTTEP TH SDR(TPED.SI)$

• Last week, PTTEP revealed its operational performance and key progress for the first half of 2024, highlighting its success in expanding strategic investments in the Middle East to immediately increase the company's petroleum proved reserves. The Board of Directors approved an interim dividend payment of THB 4.50 per share for the period, while the company contributed over THB 30,170 million in royalties and taxes.

• For the first six months, PTTEP generated a total revenue of THB 166,887 million (equivalent to USD 4,608 million). The average sales volume was 489,879 barrels of oil equivalent per day (BOED), an increase of approximately 8% compared to the first half of 2023.

• Mr. Montri Rawanchaikul, Chief Executive Officer of PTT Exploration and Production Public Company Limited (PTTEP), stated that PTTEP made significant progress in its E&P business during the first half of 2024 by acquiring a 10% participating interest in the Ghasha Concession.

5. $CapLand India T(CY6U.SI)$

• CapitaLand India Trust reported a first-half distribution per unit of 3.64 Singapore cents, marking an 8% increase from a year earlier and an 18% rise compared to the preceding six-month period, driven by a surge in net property income.

• The company's total property income and net property income for the period grew by 23% and 21% YoY to S$136.1 million and S$103.5 million for the first half of 2024, respectively.

• Additionally, last week CapitaLand India Trust announced in a filing on the Singapore Exchange that Sanjeev Durjhati Prasad Dasgupta will step down as CEO and be re-designated as a non-executive, non-independent director.