CLSA recommends buying SCC with a 280 baht target, citing synergy with PTTGC as a long-term strength

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CLSA Securities (Thailand), or CLSA, recommends buying shares of Siam Cement Public Company Limited, or SCC, with a target price of 280 baht, viewing its joint venture with PTT Global Chemical Public Company Limited, or PTTGC, as an opportunity to create synergies in both the short and long term, through raw material flexibility, improved olefins operating efficiency, and downstream product expansion. Although SCC holds a smaller stake in the joint venture than PTTGC, the larger combined asset base and the benefits of business consolidation will help enhance competitiveness and support the impact on net profit over the long term. Meanwhile, LSP's Ethane Feedstock project is nearly 70% complete and could finish about one quarter ahead of the original schedule, and is expected to generate profit of around 250 to 300 million dollars per year. CLSA estimates SCC's revenue in 2026 at 602.425 billion baht, up from 496.925 billion baht in 2025, and net profit in 2026 is expected at 23.238 billion baht, a significant increase from 14.075 billion baht in 2025. Profit is expected to rise to 25.22 billion baht in 2027 and reach 28.047 billion baht in 2028. It also expects dividend yield of 3.5% in 2026, rising to 3.8% and 4.2% in 2027 and 2028.

Impact on assets 2

Climate Adaptation & Water▲
The Siam Cement Public Company Limited
SCC
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CLSA recommends buying SCC with a 280 baht target, citing JV synergies, the LSP ethane project finishing early, and sharply higher 2026-2028 profit forecasts.

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Off-coverage companies 1

CLSA Securities (Thailand) Limitedi
Private± Mixedrelevance