CGSI recommends buying AMATA with a target price of 39.75 baht, riding the upward investment cycle

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CGSI, or CGS International Securities (Thailand), recommends buying shares of Amata Corporation Public Company Limited, or AMATA, and has raised its target price to 39.75 baht, equivalent to a P/E of 10.5 times in FY27, after taking institutional investors to visit the Amata City Rayong industrial estate and EASTW's water production system on September 16, 2026. It views AMATA as ready to capture the upward investment cycle amid strong FDI flows, especially from the Data Center segment and high-value industries. CGSI has raised its new land sales forecast to 1,600 rai in FY27 and 1,550 rai in FY28, including sales from the Amata City Namor project in Laos, while keeping its FY26 estimate at 1,172 rai. This means AMATA must sell an additional 794 rai in 2H26, from deals under negotiation totaling approximately 1,000 rai in Thailand and 187-219 rai in Vietnam. For Amata City Rayong, a new phase of 3,000 rai is under development, with pre-sales starting in 2Q26 and ownership transfers expected to begin within 2027. About 300-400 rai has already been pre-sold at an average selling price of 7.5 million baht per rai, with a gross profit margin of 50-55%. As for the Amata City Namor project in Laos, the first phase has 4,500 rai of saleable area, with infrastructure construction and sales starting in 1Q26, and the first customer deal of about 300 rai expected to close in 4Q26. On the water system, CGSI assesses that the EEC has sufficient water utilities to support Data Centers, with EASTW estimating Data Center water demand in the EEC at 40-50 million cubic meters in 2027-2029 and capacity to support up to 4.4GW. Meanwhile, stricter screening criteria for new Data Centers may delay land sales for some projects by 1-3 months, but this is positive in the medium to long term for industrial estates with ready infrastructure. CGSI has raised its FY26-FY28 EPS estimates by 5.5-7.6% to reflect gains from the sale of its investment in Amata Service City Long Thanh 1 in 4Q26, while its backlog still secures 89.7% of estimated land sales revenue for FY26-27.

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