Decoding the upward trend of MCH stock

Japanese consumers enthusiastically welcome the new CHIN-SU Sriracha chili sauce product. Photo: Masan Group.

Market capitalization reached nearly 130,000 billion VND.

At the close of trading on May 22nd, after a period of euphoria, the stock market witnessed a "correction" session as the VN-Index fell 10.23 points to 1266.91 points.

After the market plunge, Masan Group stocks, including MSN, MCH, and MSR, quickly regained their momentum, continuing their upward trend with a surge in trading volume.

With recent growth momentum, the total market capitalization of Masan Group's companies has reached over 280,000 billion VND (nearly 11 billion USD). Furthermore, the Masan Group also contributes two members to the list of the 20 most valuable companies on the stock exchange today.

Market capitalization of listed companies belonging to Masan Group

Accordingly, Masan Consumer's MCH stock has been the most impressive performing stock in the Masan group recently. At the close of trading on May 23rd, the MCH share price increased by 1.91% to VND 181,000 per share. At the close of trading on May 28th, MCH continued to rise to VND 185,100 per share.

Compared to the beginning of the year, from 89,200 VND on January 2nd, MCH shares have doubled, boosting market capitalization to nearly 130,000 billion VND. This figure also helped Masan Consumer enter the list of the 20 most valuable companies on the stock exchange.

MCH's market capitalization currently places it among the top consumer goods companies in Vietnam in terms of market capitalization. Currently, in the consumer goods sector, Vinamilk leads in market capitalization with over 138,000 billion VND, followed by Masan Consumer, then Mobile World and Sabeco with market capitalizations of over 87,100 billion VND and over 74,700 billion VND respectively.

Guests experience Masan Consumer products at the shareholders' meeting. Photo: Masan Group.

In terms of market capitalization, Masan Consumer's current figure has surpassed Masan (MSN). With its key ownership in MCH, MSN's share price reflects the reality that the company's intrinsic value is not yet fully realized. Besides MCH, Masan also owns other segments such as WinCommerce, Masan MEATLife, Masan High-Tech Materials, Phuc Long Heritage, and a stake in Techcombank … Masan is like a house where the "family treasure" MCH alone is worth more than the house itself, without even considering other assets. MCH is not stopping there; the company possesses significant potential for further breakthroughs in the future, thereby expanding the potential for further stock price increases.

Building a "Love Brand" from a foundation of understanding Vietnamese consumers.

According to Kantar Worldpanel: 98% of Vietnamese households own at least one Masan product. As of the end of 2023, Masan Consumer owned 5 brands with annual revenues ranging from $150-250 million, including strong and reliable brands in the fast-moving consumer goods (FMCG) sector such as: CHIN-SU; Omachi; Kokomi; Nam Ngu; Wake-up 247…

Numerous visitors at the CHIN-SU booth. Photo: Masan Group

To create strong, trusted, and beloved brands, this company prioritizes a deep understanding of market needs. A prime example is the establishment of the Consumer Innovation Center, which aims to listen to and understand consumers and has been operational since June 2023.

Continuously updating with new and advanced technologies, along with a team of world-leading experts in various industries, has resulted in groundbreaking product lines that have made a splash in the market, such as: the specialty fish sauce line with the trio of Nam Ngu chili garlic Ly Son, Nam Ngu chili ginger Ky Son, and Nam Ngu fresh tamarind from Southern Vietnam - bringing convenience to Vietnamese family meals.

Diversify your spice range with products such as: CHIN-SU shrimp and lemongrass chili paste; CHIN-SU mayonnaise; and a complete CHIN-SU spice set including sour soup sauce, barbecue sauce, beef pho sauce, grilled pork bun cha sauce, Thai hot pot sauce, etc.

In particular, CHIN-SU Sriracha chili sauce, with its uniquely delicious spiciness from Vietnam's famous bird's eye chili, has helped CHIN-SU chili sauce surpass over 400 chili sauce brands sold on Amazon to become one of the "Top 10 Best Sellers". This is a significant milestone marking CHIN-SU's "Around the World" journey.

Young people sample food at the CHIN-SU booth. Photo: Masan Group

In the near future, Masan Consumer plans to collaborate closely with WinCommerce (another unit of Masan Group - owning the WinMart/WinMart+ supermarket chain) and the WIN Membership program to develop new products based on the analysis and understanding of customer behavior of these units. This is a significant competitive advantage for Masan Consumer as it is part of Masan Group's retail and consumer platform.

In 2024, Masan Consumer projects net revenue to reach between VND 32,500 and VND 36,000 billion. Besides its core products and business lines, the company is also developing innovative capabilities and processes to further enhance its FMCG portfolio in the future.

Masan Consumer's strategic goal is to own six billion-dollar brands, implement a "Go Global" strategy aiming to achieve 10-20% of revenue from the global market, bring Vietnamese brands to the world, and become the leading company in Southeast Asia in terms of revenue and profit growth through a new FMCG model.

Source: https://laodong.vn/kinh-doanh/giai-ma-da-tang-cua-co-phieu-mch-1345760.ldo