Summary · why it matters
A securities research note recommends buying WHA shares, assessing that second-half 2026 performance will outshine the first half, particularly in the fourth quarter of 2026, driven by accelerated land transfers and asset monetization. In the first half of 2026, the company recorded land sales of 1,199 rai but transferred only 505 rai, while carrying a backlog of 1,464 rai and letters of intent covering another 2,891 rai, providing a base to support accelerated transfers late in the year. The company is maintaining its 2026 land sales target of 2,500 rai despite the risk that some customer groups may delay decisions. In addition, the fourth quarter of 2026 has a key catalyst from asset sales into REITs totaling 144,000 square meters, valued at approximately 3.6 billion baht, split between WHART at 99,000 square meters and WHAIR at 45,000 square meters. The fourth quarter of 2026 is therefore expected to be the year's most outstanding period for profit. On margin quality, gross margin in the land sales business reported in the second quarter of 2026 was only 28% due to accounting effects, but normalized margin, excluding the impact of IER's purchase price allocation, stood at 66%, up from 48% year on year. The selling price of land for assets WHA holds itself in Thailand was 5.05 million baht per rai, close to the prior year, reflecting still-solid pricing power. Land demand continues to be supported by production base relocations, especially in EV, electronics, semiconductor and PCB. WHAUP is another standout growth engine, driven by data centers for both water and electricity. In the first half of 2026, utilities volume rose 9% year on year and capacity charge increased to 385 million baht from 116 million baht a year earlier, while solar revenue rose 36%. The average target price from IAA Consensus stands at 5.65 baht, with the current price trading at a price-to-earnings ratio of 16 times, close to the five-year average, and lagging the sector by about 8.7% over the past 60 trading days. On short-term technicals, the stock has pulled back to test and hold support at the low of the 4.56 candlestick, with buying pressure returning to close at the high on a long white candle. Trading volume increased, signaling a double-bottom pattern, with resistance at the double-top test level of 4.88 to 4.90. A break above that level would be a buy signal completing the downtrend. For investors already holding the stock or looking to add, there is a chance to test resistance at 4.80, 4.90 and 5.10. For those without the stock, short-term buying should focus on holding support at 4.66 and 4.56, and should not fall below that.
WHA Corporation Public Company Limited
WHA Utilities and Power Public Company Limited
WHA Industrial Leasehold REIT