Investing in Electric Power Stocks with Good Dividends: A Guide to Choosing Energy Assets from 8 Leading Companies

The electric power industry stocks group is considered one of the suitable investment channels for those seeking long-term and stable profits because power plants are businesses with continuous revenue generation. Society’s energy demand steadily increases, leading to asset expansion and attractive dividend opportunities.

Why are energy stocks a good choice?

Lower risk, good returns: Highly stable business structures and long-term power purchase agreements make these stocks classified as Defensive Stocks or safe investments. Returns generally exceed those from bank deposits.

Predictable growth: Electricity consumption depends on the country’s economic development. The government sets clear plans for power generation development (PDP) and alternative energy (AEDP), providing clear and predictable expansion pathways for this business.

Stable contract conditions: Long-term (Power Purchase Agreement) contracts have fixed or formula-adjusted prices, allowing investors to clearly see future cash flows.

Types of power plants to know

Companies operating power plants are divided into three main groups based on capacity: large private power plants (IPP) with capacity over 90 MW, medium private power plants (SPP) between 10-90 MW, and small private power plants (VSPP) under 10 MW.

Diverse energy sources: Companies utilize various energy supply sources: solar power (Solar Power Stocks) as environmentally friendly renewable energy, hydropower (Hydropower Stocks) relying on natural water sources, natural gas (Natural Gas Power Stocks) with high efficiency, nuclear (Nuclear Power Stocks) in some countries, and other renewable energies such as wind, biomass, and wave energy.

Leading 8 companies with operational data

BANPU - Regional Leader

Banpu Power is an international quality power producer operating under the philosophy “Powering Society with Quality Megawatts.” It has 41 power plants and projects across Thailand, Laos, China, Japan, Vietnam, Indonesia, Australia, and the United States.

Its capacity share is 3,656 MW, with renewable energy accounting for approximately 11.20%. In the first 6 months, BANPU generated revenue of 90,673.73 million THB and net profit of 2,488.71 million THB. The current stock price is 111.50 THB, down 5.88% since the beginning of the year. Analysts forecast a price range of 5.00-8.00 THB, with an average of 6.75 THB.

GULF - True Leader in Clean Energy Expansion

Gulf Energy Development is considered Thailand’s integrated energy industry leader, involved in power generation, gas, renewable energy, hydroelectricity, infrastructure, and utilities. Recently, it announced investments in clean energy projects, with several pilot projects within a 90-billion-baht budget over 5 years.

Outstanding operational results: revenue of 64,896.44 million THB, net profit of 8,239.79 million THB (highest in the group). Stock price at 66.50 THB, up 54.49% from the start of the year, making it the most outstanding performer. Analysts set a price target of 49.00-68.00 THB, averaging 56.92 THB.

GPSC - Innovation Pioneer in Energy

Global Power Synergy is a leader in innovation and sustainability in the industry, operating under the 4S strategy by producing and selling electricity, steam, water for industry, and supporting utilities.

Recently, it received a long-term loan of 7 billion THB from three financial institutions to accelerate low-carbon and fossil-free energy projects, aligning with the country’s Net Zero goal. Revenue for 6 months: 48,426.98 million THB, profit of 2,292.55 million THB, stock price at 46.25 THB (-3.09% YTD). Forecasted range: 43.50-61.00 THB, average 53.46 THB.

BGRIM - Co-Generation and Clean Energy Leader

B.Grimm Power focuses on electricity generation from cogeneration systems and renewable energy. Besides its core business, it has expanded into health, lifestyle, real estate, and digital sectors.

Recently, it signed additional power purchase agreements for solar energy. Revenue: 28,344.78 million THB, profit: 607.17 million THB, stock price at 23.40 THB (-12.66% since the beginning of the year). Price target: 19.60-31.06 THB, averaging 26.66 THB.

EA - Newcomer in Modern Clean Energy

Energy Absolute entered the “Energy for The Future” sector, developing clean energy technologies, including renewable energy, lithium batteries, electric vehicles, home electrical cabinets, charging stations, and more.

This year, it also accelerates land, sea, and rail electric transportation. Revenue: 10,368.81 million THB, profit: 1,430.44 million THB, stock price at 7.80 THB, down 81.36%. However, analysts expect a recovery, with a target range of 5.00-35.00 THB, averaging 17.33 THB.

( SSP - Sky TIDB Power Company

Sreem Power Corporation specializes in renewable energy, including rooftop solar farms, alternative fuels, and more. This year, it plans to add assets exceeding 30 billion THB across Asia.

Credit quality: BBB+ from Tris, revenue of 1,709.90 million THB, profit of 326.89 million THB, stock price at 5.90 THB )-25.62% YTD###. Analysts see a range of 5.90-8.90 THB, offering a +50.85% opportunity.

( CKP - Wattanachai Entering the Energy Business

CK Power )parent company Ch. Karnchang###, a major construction firm, has expanded into energy, including hydroelectric, cogeneration, and solar projects, through 6 subsidiaries and affiliates.

Performance: revenue of 5,111.09 million THB, net loss of 387.05 million THB (still loss-making). Stock price at 3.70 THB, up 19.02% YTD. Target: 4.35-5.20 THB, average 4.70 THB.

( GUNKUL - From 1 Million Capital to a Business Universe

Gunkul Engineering grew from a registered capital of only 1 million THB to a valuation of 30,000 million THB, with substantial power generation and sales of renewable energy to government agencies and private sectors.

Recently, it launched a new P2P energy trading platform Volt, with over 9-10 energy products under development. Revenue: 5,002.69 million THB, profit: 761.43 million THB, stock price at 2.80 THB )+2.86% YTD###. Aiming for 2.70-5.00 THB, with an average of 3.76 THB.

Factors to consider before investing

Company policies and strategies: Understand expansion plans, whether the company will seek new partners, increase power plants, or expand abroad.

Energy demand trends: Mainly depend on economic growth. When demand increases, new project investments follow.

Contract documents: Study details of power supply agreements, durations, price rates, and expected revenue structures.

Government policies: PDP and AEDP guide energy development directions; monitor government policies directly.

Investing principles in electricity stocks with good dividends

Stability and returns: Although energy stocks carry risks like other stocks, most returns exceed bank savings, especially as many have regular dividend policies.

Continuous profit generation: Power plant businesses (especially dividend-paying stocks) have steady and predictable profits due to long-term power purchase agreements.

Growth opportunities: Companies can expand new power plants or increase capacity to meet rising energy demand and support government policies promoting clean energy.

Government incentives: Sometimes, the government offers rights or incentives to promote renewable energy investments.

Investment methods: Two routes

Method 1: Thai stock market stocks: For stocks like GULF, BGRIM, BANPU, open an account with Thai securities firms such as Bualuang Securities, Kasikorn Securities, or Maybank Kim Eng. Invest 100% of your capital. Example: buy 100 GULF shares at 50 THB = 5,000 THB. If the price rises to 55 THB, profit is 500 THB. Popular trading programs include STREAMINGPRO and ASPEN.

Method 2: CFD via foreign brokers: Enables two-way trading with leverage, reducing capital but increasing potential profit. Trade various assets (stocks, gold, currencies, indices). Services like MiTrade allow you to evaluate (investments, open an account in 3 minutes.

Summary

Power plant stocks with good dividends are dubbed “safe stocks” or Defensive Stocks for clear reasons: electricity is essential for industry and households. Energy security is crucial for economic development.

Investing in this group helps diversify risk or for those with limited risk appetite seeking steady dividend income. The power stocks group is a serious consideration in annual investment plans.