Company Coverage
Amata Corporation (AMATA TB): Land Transfer Momentum Remains On Track
BUY (Maintained)
Current price:
Target price:
Upside:
Bt30.50
Bt38.00
24.59%
Analyst
Analyst
Panjarat Thaweesriprasert
Highlights
- The tone of the 2Q26 analyst meeting was neutral.
- Data centre pipeline remains a key upside, with six operators representing around 300 rai of potential land sales, which AMATA expects to secure within 2026.
- Maintain BUY with an unchanged target price of Bt38.00.
Analysis
- Neutral tone from the meeting. We attended Amata Corporation’s (AMATA) 2Q26 analyst meeting, which had a neutral tone. The company reiterated its 2026 land sales target.
- Land transfer momentum continues into 2H26. Land transfers progressed faster than expected in 1H26, supported by improved execution efficiency. We expect this momentum to continue into 2H26, with land transfers remaining on track and less affected by seasonality. The company also expects stronger transfer momentum to continue into 2027 given a more balanced and less seasonal land transfer pattern going forward.
- Over 1,00 rai of high potential customers. The company currently has over 1,000 rai of high-potential customers under discussion, with new inquiries continuing to come in. The pipeline comprises 22 customers, with the majority coming from data centre and electronics projects, along with auto parts and machinery. In Vietnam, the company sees potential to achieve around 550 rai of land sales, although the timing could be affected by the pace of FDI approvals and progress on the Ha Long project. In Laos, customer discussions remain active, with around 300 rai of high-potential demand currently under discussion.
- Gross margin to soften slightly in 2H26. We expect gross margin to decline slightly in 2H26, mainly due to a higher contribution from the Thai-Chinese Rayong site, which carries a lower margin of around 55-60%, compared with 65-70% for the Smart City project. In 1H26, Smart City accounted for around 20% of total land transfers and supported the overall margin while there is no transfer from Thai-Chinese Rayong in 1H26. Management indicated that land transfer margins do not differ materially by customer industry, including data centres, as margins are driven more by the location and characteristics of each site.
Highlights
- The tone of the 2Q26 analyst meeting was neutral.
- Data centre pipeline remains a key upside, with six operators representing around 300 rai of potential land sales, which AMATA expects to secure within 2026.
- Maintain BUY with an unchanged target price of Bt38.00.
Analysis
- Neutral tone from the meeting. We attended Amata Corporation’s (AMATA) 2Q26 analyst meeting, which had a neutral tone. The company reiterated its 2026 land sales target.
- Land transfer momentum continues into 2H26. Land transfers progressed faster than expected in 1H26, supported by improved execution efficiency. We expect this momentum to continue into 2H26, with land transfers remaining on track and less affected by seasonality. The company also expects stronger transfer momentum to continue into 2027 given a more balanced and less seasonal land transfer pattern going forward.
- Over 1,00 rai of high potential customers. The company currently has over 1,000 rai of high-potential customers under discussion, with new inquiries continuing to come in. The pipeline comprises 22 customers, with the majority coming from data centre and electronics projects, along with auto parts and machinery. In Vietnam, the company sees potential to achieve around 550 rai of land sales, although the timing could be affected by the pace of FDI approvals and progress on the Ha Long project. In Laos, customer discussions remain active, with around 300 rai of high-potential demand currently under discussion.
- Gross margin to soften slightly in 2H26. We expect gross margin to decline slightly in 2H26, mainly due to a higher contribution from the Thai-Chinese Rayong site, which carries a lower margin of around 55-60%, compared with 65-70% for the Smart City project. In 1H26, Smart City accounted for around 20% of total land transfers and supported the overall margin while there is no transfer from Thai-Chinese Rayong in 1H26. Management indicated that land transfer margins do not differ materially by customer industry, including data centres, as margins are driven more by the location and characteristics of each site.
BUY (Maintained)
Current price:
Target price:
Upside:
Bt30.50
Bt38.00
24.59%
Analyst
Analyst
Panjarat Thaweesriprasert
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