SAV's flight slump bottomed; recovery and new tenders drive brokers' bullish targets
Flight volumes through Cambodia are recovering after a weak second quarter Flights through Cambodian airspace fell 2% in Q2 2026, but returned to 8% growth in July and about 20% in August, helped by more flights from Vietnam, China and Singapore. More flights mean more overflight fees for SAV, so profit is expected to recover to 130-140 million baht in Q3 from 122 million in Q2.
This is the core new operating driver behind the expected profit recovery and the main reason brokers turned more positive.
Two new tenders worth over 3.2 billion baht could add future revenue SAV is preparing to bid for runway debris-detection equipment at Suvarnabhumi Airport worth 1.3 billion baht (tender around October 2026) and radar equipment for Aeronautical Radio of Thailand worth 1.9 billion baht (early 2027). Winning these would add to SAV's project backlog and support profit growth beyond its core air-traffic business.
New project opportunities are a fresh catalyst that could lift SAV's earnings beyond the current flight recovery.
Brokers keep Buy ratings with targets up to 18 baht, citing cheap valuation and high dividend Several brokers maintained Buy ratings on SAV with target prices of 14.50 to 18.00 baht, saying Q2 was the profit bottom and growth will accelerate in Q3, Q4 and 2027. They also point to a high dividend yield of about 6-8.5% and a valuation below its historical average, which supports the share price.
Broker targets and valuation/dividend support are a key reason investors are positive on the stock now.
Lower oil prices and seasonal high season should lift second-half results Jet fuel prices fell about 28% from the previous quarter and Middle East tensions eased, which lets airlines fly more. SAV also expects a seasonal boost in Q4 from Cambodia's visa-free policy for Chinese visitors and the opening of Vietnam's new Long Thanh airport in December 2026, both of which should increase flights through Cambodian airspace.
These are the external forces that make the second-half recovery possible and are new to readers.