Recently, I came across an interesting topic about Thai power utility stocks, which could be a good choice for building a stable portfolio, especially for those seeking regular income and wanting to avoid getting caught up in market volatility.

Electricity is an essential resource, regardless of whether the economy is good or bad. Everyone still needs power. For this reason, power utility stocks are viewed as defensive stocks with relatively stable income. Even when the market is down, they can still pay dividends to shareholders.

Based on the latest data, it was found that the top 8 Thai power utility stocks have interesting characteristics. GULF leads with a market value of 795.55 billion baht, priced at 54 baht. Followed by GPSC (38.75 baht), RATCH (31.25 baht), and EGCO, which is priced at 120.50 baht, the highest in the group.

What attracted me is the P/E ratio of these companies. GULF ranges from 8.4 to 32.1 times, EGCO at 12.4 times, and RATCH at 11.2 times, indicating that the prices are quite reasonable relative to their profits. Additionally, these companies have long-term power purchase agreements that provide stable cash flow forecasts.

These companies are also moving toward clean energy, with BCPG and EA, especially expanding into renewable energy, solar power, and batteries, aligning with Thailand’s government policies on renewable energy development.

If you're interested in buying power utility stocks, you can do so through regular Thai brokers, such as Bualuang Securities, Kasikorn Securities, or Maybank Securities. The minimum is 100 shares. For example, if you buy 100 GULF shares at 54 baht each, it would cost 5,400 baht.

What makes me believe that power utility stocks have potential are: 1) stable income from long-term contracts, 2) a history of continuous dividend payments, creating passive income for shareholders, 3) government support through policies and budgets, and 4) the ongoing growth of green energy worldwide.

For those seeking a portfolio resilient to volatility and providing regular income, power utility stocks seem to be a worthwhile option to consider.