AI data center power and liquid cooling demand surges! This "Nvidia Chain" giant's market value skyrockets, reaching a billion-dollar milestone

According to iFintech Finance APP, following the U.S. Supreme Court ruling to overturn the Trump administration’s IEEPA tariff policies and the unprecedented wave of AI data center construction led by tech giants such as Google, Amazon, Meta, and Microsoft driving the demand for core power equipment and AI liquid cooling management devices, Delta Electronics Thailand Pcl has become the first publicly listed company in Thailand with a market capitalization of $100 billion.

Headquartered in Thailand, Delta Electronics Thailand, a key participant in the AI GPU-based AI computing power industry chain (referred to as the “Nvidia Chain”), saw its stock price surge by as much as 10% on Monday—about one-third of its revenue comes from the U.S. AI data center construction sector, boosting its year-to-date increase to over 49%. Driven by extremely strong sales of core equipment for AI data center power and robust demand for data center liquid cooling devices, the company’s revenue grew significantly by 20% last year.

Senior analyst Suwat Sinsadok from Globlex Securities Co. stated, “Delta Electronics Thailand’s profit outlook is very high, thanks to its extremely solid performance growth strategy and its competitive AI data center power and liquid cooling product lines.” He added that by 2027, the company’s net profit could increase by another 25%, reaching $1 billion.

The recent surge in stock price since last year has made Delta Electronics Thailand Pcl the second-largest market cap company in Southeast Asia, only behind the Southeast Asian financial giant DBS Group, which crossed the record-breaking $100 billion market cap milestone last year.

Delta Electronics Thailand Pcl’s “AI Data Center Power Chain + Liquid Cooling/Heat Management Equipment” is undoubtedly in the essential demand segment of AI computing infrastructure (the company recently announced its new generation product lines such as data center liquid cooling CDU). Coupled with the Supreme Court’s overturning of Trump’s tariffs, leading to improved trade and demand expectations, this has jointly driven the stock price and market value to reprice upward.

Who is Delta Electronics Thailand Pcl? Why has its market cap surged past $100 billion?

Delta Electronics Thailand Pcl, a listed subsidiary of Delta Electronics, Inc. (台达电子) established in Thailand, has seen its market value skyrocket by 60% in just one year, from approximately $62.6 billion a year ago to over $100 billion now.

The reason Delta Electronics Thailand (DELTA.BK) has become a “market cap monster” amid this unprecedented AI infrastructure boom is fundamentally because it sells an indispensable part of the AI data center construction wave—“power and heat”: high-efficiency power supplies/power systems (power) and thermal management/heat dissipation (thermal management), extending into ICT infrastructure and some industrial/automotive power electronics. The company has also positioned itself clearly as a “leader in data center power equipment and thermal management solutions,” with product portfolios covering power electronic systems, data center power chains, and liquid cooling—among the hottest global sectors.

From the perspective of global AI server cluster engineering, Delta’s “tailwinds” come from two hard constraints: rising power density and cooling bottlenecks. As GPUs/AI cabinets move from tens of kW to at least hundreds of kW, large-scale AI data centers like “Stargate” require highly efficient power supply chains (rectification/high-voltage power supply/power architecture) and higher heat flux liquid cooling systems from the grid to the chip. Delta emphasizes its ability to provide comprehensive power and thermal management solutions for data centers in the AI era, offering products such as liquid cooling and air cooling combinations (e.g., liquid cooling CDU) for high-density GPU/CPU workloads.

OCP has publicly indicated that AI rack power will “soon exceed 500kW,” and Nvidia is also promoting high-voltage DC architectures for “AI factories,” targeting rack levels from 100kW to over 1MW. Increasing power consumption involves not just “spending more on MOSFETs,” but also stacking devices across the entire chain: more stringent efficiency and thermal design constraints for AC/DC and DC/DC converters, more complex multi-stage conversions from 48V (or higher voltage) to point loads (<1V), and steeper transient currents for GPUs/CPUs—significantly raising the demand for power modules (FETs/power modules/drivers), multi-phase controllers, hot-swappable/electronic fuses, isolation and current/voltage sensing, clocking, and high-speed signal conditioning.

The capital market is willing to assign higher valuation multiples because it views Delta as a “shovel stock” for AI data center capital expenditure: every new or expanded AI data center involves rigid BOMs for power, distribution, cooling, and cabinet-level liquid cooling, with the value per cabinet rising as power density increases. Compared to complete machine assembly, these “key components/systems” are easier to demonstrate technological barriers (efficiency, reliability, control, materials, and system integration) and bargaining power; this aligns with the market narrative of “demand driven by data centers and strong sales of power electronics.” Furthermore, after the Supreme Court’s ruling overturning tariffs, market expectations for core equipment in data center power chains and AI liquid cooling devices have further strengthened, propelling the company to become Thailand’s first company with a market cap exceeding $100 billion.