Quoc Cuong Gia Lai's stock plummets.

At the close of the morning trading session on July 19th, QCG shares of Quoc Cuong Gia Lai Joint Stock Company fell to the floor price of 9,070 VND/share. Currently, there are 2.77 million units offered for sale and no buyers.

The sharp drop in QCG shares occurred after information emerged that police and prosecutors were working at the home of Ms. Nguyen Thi Nhu Loan, General Director of Quoc Cuong Gia Lai, that same morning.

Looking back at QCG shares, at the beginning of February, the stock was priced at just over 8,000 VND/share, but by mid-April 2024, QCG shares had surged and reached nearly 19,000 VND/share - the highest in the last two years.

Thus, in less than two months, QCG shares have doubled in price. Notably, the surge in QCG shares occurred despite a sharp market downturn and the Ho Chi Minh City People's Court ordering the company to repay over 2,800 billion VND it had received from Ms. Truong My Lan.

QCG stock price fluctuations over the past year. Source: Fireant

In mid-2023, QCG shares also caused a "shock" on the stock market with a streak of 13 consecutive days of hitting the upper limit.

At its current market price, QCG shares have fallen by nearly 10% compared to the beginning of 2024, but compared to its peak period, the stock has fallen by twice as much.

Regarding business performance, Quoc Cuong Gia Lai's consolidated financial report for the first quarter of 2024 recorded net revenue of only 38 billion VND and after-tax profit of a mere 651 million VND, representing decreases of 77% and 28% respectively compared to the same period last year.

As of the end of March 2024, this company had long-term other receivables worth nearly VND 142 billion, unchanged from the beginning of the year, largely derived from investments in the Tan Phong project (District 7, Ho Chi Minh City) and the Phuoc Kien residential area project (Nha Be District, Ho Chi Minh City).

In addition, Quoc Cuong Gia Lai also has a provision for short-term doubtful receivables of VND 1 billion and inventory of VND 7,033 billion, unchanged compared to the beginning of 2024.

By the end of Q1/2024, the company's liabilities totaled VND 5,161 billion, of which other short-term payables (received payments from Sunny for the Phuoc Kien Project, payables to third parties, etc.) accounted for 83%; loans and financial lease liabilities accounted for 11%, at VND 570 billion.

In terms of equity, liabilities are 1.18 times higher.

Regarding Ms. Nhu Loan, she currently holds nearly 102 million QCG shares, and her son, Mr. Nguyen Quoc Cuong, holds 537,500 shares. Based on this morning's closing price, the estimated value of this block of shares is approximately 930 billion VND.

Mr. Nguyen Quoc Cuong, also known as Cuong Do La, is one of the most well-known supercar enthusiasts in Vietnam. Some of the supercars he has owned include: Lamborghini Gallardo, Ferrari 488 GTB, McLaren 720S, Ferrari F8 Tributo, Lamborghini Huracan...

According to reports, the selling price of these supercars ranges from at least 10 billion VND to 40 billion VND. In total, the value of Cuong Do La's supercar collection could reach hundreds of billions of VND.

Recently, Cuong Do La attracted attention when he confirmed his order under a post introducing Ferrari's new 12Cilindri supercar. The starting price for this supercar is reportedly $424,000, with the Spider variant priced at $467,000. After adding taxes, the price of this car could reach 35 billion VND in Vietnam.

Source: https://nld.com.vn/co-phieu-quoc-cuong-gia-lai-lao-doc-196240719120858512.htm