In May, the Thai stock market was boosted by the global vaccination rollout which got underway especially in developed countries, while the world economic and trade recovery sign gathered pace. On top of this, the rising global prices of energy and many commodities were factors behind the net profits increase of some Thai listed companies, particularly the industry groups that profits vary according to global crude oil price fluctuations, in the first quarter of 2021 compared with their profits in the same period last year. If excluding these groups, the net profits of Thai listed companies were stable.
SET Senior Executive Vice President Soraphol Tulayasathien said that SET Index ended May at 1,593.59 points or a 10 percent gain from end-2020, outpacing the average of other regional peers. Compared with the end of 2020, the industry groups that outperformed SET Index were Industrials, Agro & Food Industry, Consumer Products, Property & Construction, Technology, and Financials.
Key highlights for May
- SET Index ended 1,593.59 points in May or a 10 percent rise from year-end 2020, outpacing the regional peer average. When compared with the previous month, SET Index rose 0.7 percent.
- In May, numerous industry groups made progress, with Industrials, Agro & Food Industry, Consumer Products, Property & Construction, Technology, and Financials industry groups outperforming SET Index when compared with year-end 2020.
- The average daily trading value of SET and mai in May 2021 surged 68.3 percent from a year earlier to THB 109.45 billion (approx. USD 3.51 billion). The daily trading value for the first five months of 2021 averaged THB 98.86 billion.
- In May, foreign investors were net sellers for the fifth consecutive month at a net THB 34.05 billion, and a total of THB 66.87 billion for the January - May period. Local investors were net buyers at THB 101.24 billion. Notably, since the COVID-19 pandemic started in February 2020, local investors have continuously been the largest players in terms of trading value proportion.
- In May, the IPO activities continued with a total of six, three new listings each on SET and mai. During the first five months of this year, the fundraising value via IPOs listed on the Thai bourses outpaced ASEAN peers, mainly due to the listings of PTT Oil and Retail Business pcl (OR) and Ngern Tid Lor pcl (TIDLOR).
- At end-May, SET’s forward P/E ratio was 19.2 times, while historical P/E ratio was 29.65 times, higher than the Asian peer average at 15.0 times and 26.8 times, respectively.
- Dividend yield ratio of SET at end-May was 2.42 percent, above Asian stock markets’ average ratio of 2.25 percent.
Derivatives market
- In May, the average derivatives trading volume recorded at 597,159 contracts per day, a 26.1 percent rise from end-April due mainly to the increase of trading activities in SET50 Index Futures and Single Stock Futures.
