Reporters reported that today (March 30, 2023) the stock price Delta Electronics (Thailand) Public Company Limited or DELTA Plus Kuk closed at 1,100 baht, plus 94.00 baht or 9.34%, the highest at 1,108 baht, the lowest at 998 baht with a trading value of 5,871.39 million baht, with the stock price adjusting “All Time High”.
Recently, DELTA informed the SET that As today’s trading conditions of the Company’s securities have changed dramatically in order for shareholders and investors to have complete information for making investment decisions. The company would like to clarify that The company has not made any significant developments. undisclosed
However, if the company has any information or developments that may affect the fundamentals of securities prices The company will inform later.
While many parties have assessed that As for DELTA’s stock price, it rose sharply with unusually dense trading value this round. Or maybe it’s because it’s getting closer to the date that the board has resolved to propose to the 2023 Annual General Meeting of Shareholders on April 7, 2023 to consider and approve the change in par value. From the original par value of 1 baht per share to a par value of 0.1 baht per share, subject to the status maintenance criteria.
Therefore, if the shareholders have approved the announcement of DELTA stock split according to the board presented. At least it will have a positive psychological effect on the stock price. After there seems to be some speculation But how well the following-par price will attract guests depends on business fundamentals.
Initially, however, if on April 7, 2023, the shareholders resolved that DELTA has actually split the par according to the board proposed from a par value of 1 baht per share to a par value of 0.1 baht per share. just think From the stock price that closed today at 1,100 baht, it will cause the share price to drop to around 110 baht, compared to the new par.
Previously, a securities analyst, Nomura Capital Securities, revealed that DELTA’s stock price had risen quite a lot at present. There is a possibility that investors will expect in terms of par splits. But whether there will be a real par split or not depends on the view of the management. DELTA’s Annual General Meeting of Shareholders must be followed up to see if there will be any shareholders asking questions on this issue.
If there is a par split It’s all possible. Whether it’s adjusted to a par price of 10 satang, it will cause the stock price to drop to around 80 baht/share or split into 25 satang, 50 satang, no matter how much the par falls. It will result in small investors being able to hold shares more easily from increasing free float (Free Float) in the market.
However, it seems that the executives still do not pay much attention to the par split. Since DELTA currently trades on a P/E of 70 times, which is no more than 20 times higher than the parent company in Taiwan that trades on P/E, if there is a split, it may increase the volatility of the stock price. The advantage of having high stock price and low free float. Some companies view it as helping screen investors rather than overheating stocks, including if looking back in the past, many stocks that had split pars. Mostly, the stock price dropped from Sell on Face because there was no positive factor to push the stock price further.
