With its second consecutive limit-up session and closing at 8,540 VND/share, QCG's market value has increased by nearly 50% compared to its low point in August.
 |
This marks the second consecutive session in which QCG shares of Quoc Cuong Gia Lai Joint Stock Company have hit the ceiling price, while on the HoSE exchange, most stocks are in the red.
Right from the start of today's trading session (October 15th), QCG remained at its ceiling price and maintained it throughout the session at 8,540 VND/share, an increase of 6.88%. A similar trend occurred yesterday (October 14th) with a 6.96% increase. However, in today's session, only over 389,700 shares were traded, only 30% of yesterday's trading volume.
Notably, today, the majority of stocks on the stock exchange were in the red. On the HoSE, 282 stocks declined in price, and only 4 stocks bucked the trend and hit the ceiling price, including QCG.
 |
The performance of QCG shares on the stock exchange from the beginning of the year to date. |
The sudden increase in the share price ceiling does not necessarily indicate positive news at QCG. Currently, Quoc Cuong Gia Lai has not yet released its Q3/2024 financial report, and information about the company has been quite quiet since Ms. Nguyen Thi Nhu Loan was prosecuted and detained on July 18th for violating regulations on the management and use of state assets, causing losses and waste.
Shortly afterwards, Mr. Nguyen Quoc Cuong - Mrs. Loan's son - was appointed as the legal representative of the company and also held the title of General Director of Quoc Cuong Gia Lai .
In late July 2024, QCG experienced a continuous decline of 11 trading sessions, including 6 consecutive sessions with limit-down drops, causing its share price to plummet from 13,000 VND/share to just over 6,000 VND/share. However, immediately afterward, the stock surged by 6.94-6.95% in two consecutive sessions.
Having fluctuated in the 6,000-7,000 VND/share range for the past two months, QCG began to recover and move upwards from the beginning of October. This period coincides with the time when businesses release their Q3 financial reports. Therefore, investors are awaiting positive signals from the company's business results, especially given that QCG has many outstanding issues to resolve, most notably the 2,882 billion VND repayment to Van Thinh Phat related to the Phuoc Kien project, while its asset base is low and its business segments have been declining for many years.
According to its report for the first six months of 2024, QCG incurred a loss of over 16 billion VND, largely due to losses in the second quarter. The company stated that the first half of the year coincided with the dry season, resulting in insufficient water for its hydropower plants to generate electricity, and low electricity production despite this being the main revenue contributor for the company in recent years.
Debt is the company's biggest burden, especially the debt to Van Thinh Phat. Mr. Nguyen Quoc Cuong had previously reassured shareholders that QCG's situation was not overly worrying. The company plans to sell its stake in three hydropower projects and dispose of inventory to ensure it can meet its existing debt obligations.
Source: https://baodautu.vn/co-phieu-quoc-cuong-gia-lai-tiep-tuc-tim-lim-bat-thuong-d227499.html
Comment (0)