A real estate stock doubled in price after half a year

NTL shares of Tu Liem Urban Development Joint Stock Company (Lideco) are extending their streak of 8 consecutive sessions of increase to the 28,500 VND area, double that of the beginning of the year.

Tu Liem Urban Development Joint Stock Company (stock code: NTL) opened the morning trading session on July 15 in a state of excitement when it increased to 28,500 VND/share, thereby extending the streak of 8 increasing sessions, including one session that increased to the full amplitude. This is the highest price range since the company was listed on the stock exchange.

Today's session officially marked a doubling of the price range of VND14,000 at the beginning of the year (calculated according to adjusted prices). This figure far exceeded the increase of VN-Index when the index representing the Ho Chi Minh City Stock Exchange only accumulated 13.6% compared to the beginning of the year.

NTL stock liquidity has also skyrocketed in the recent rally. Trading volume used to fluctuate between 500,000 and 900,000 shares per session, but the average of the last 10 trading sessions recorded 1.2 million shares changing hands per session. Particularly, in the session when NTL hit its ceiling on July 10, stock liquidity reached 3.7 million shares, equivalent to about 100 billion VND.

The driving force behind NTL’s growth is the company’s continuous payment of dividends and bonus shares. Specifically, in mid-May, the company paid a cash dividend of 25%, equivalent to VND2,500 per share. With nearly 61 million shares outstanding at that time, the company spent about VND152 billion to pay dividends.

In early July, the company continued to issue bonus shares at a ratio of 1:1 to nearly 5,000 shareholders, meaning that each person who owns 1 share will receive 1 new share. The issuance ended on July 5, bringing the total number of outstanding shares to nearly 122 million.

As soon as the price peaked, some relatives of the leaders registered to sell a large amount of shares. Specifically, Ms. Nguyen Thi Mai - mother of Mr. Dinh Duc Tiep, the company's General Director, registered to sell 1 million shares by negotiation and order matching through the floor from July 17 to August 15. The purpose of the transaction was to "reduce the holding ratio" from 4.81% to 3.99%.

Mr. Nguyen Van Kha, father of the Board Member and Deputy General Director of the company, also registered to divest 3 million shares due to "personal financial needs".

This year, Lideco set a rather modest target of VND750 billion in revenue, down 18.4% compared to VND919 billion achieved last year. Pre-tax profit is planned to reach VND320 billion, down 30.7% (equivalent to VND142 billion) compared to the figure achieved in 2023. In addition, the company plans to pay a 2024 cash dividend at a rate of 12% based on the new charter capital.

The first quarter financial report recorded net revenue of about VND37 billion, down nearly half compared to VND71 billion in the same period last year. Pre-tax profit reached VND6.6 billion and after-tax profit reached VND5.3 billion, both doubling compared to the first period last year.

The company currently has total assets of over VND1,689 billion, down 17% (equivalent to VND346 billion) compared to VND2,035 billion at the beginning of the year. The company's liabilities are about VND222 billion, down 61.3% (equivalent to VND351 billion) compared to the beginning of the year and are mainly short-term debts.

Source: https://baodautu.vn/mot-co-phieu-dia-oc-tang-gia-gap-doi-sau-nua-nam-d220014.html