Notable stocks on September 25

Rong Viet Securities Joint Stock Company recommends accumulating VCB shares of Joint Stock Commercial Bank for Foreign Trade of Vietnam ( Vietcombank ) at a target price of VND98,700/share.

VDSC said that in the second quarter of 2023, Vietcombank recorded a total operating income (TOI) of VND 17,400 billion and a pre-tax profit of VND 9,200 billion. In the first 6 months of the year, the bank's total operating income and pre-tax profit reached VND 35,900 billion and VND 20,500 billion, up 10% and 18% over the same period.

Những cổ phiếu đáng chú ý ngày 25-9 - Ảnh 1.

Regarding credit growth in the second half of 2023, Vietcombank is expected to improve when demand from business individuals and large enterprises in the fields of utilities, construction, and infrastructure returns.

In 2023, Rong Viet Securities estimates that the bank's net interest income will grow by 8% to VND57,600 billion, and non-interest income will reach VND16,500 billion. Total operating income and pre-tax profit are estimated at VND74,000 billion and VND43,100 billion. Accordingly, Vietcombank's after-tax profit and earnings per share (EPS) will be VND34,500 billion, up 15.4% and VND6,145, respectively.

Therefore, Rong Viet recommends accumulating VCB shares at a target price of VND98,700/share, equivalent to a profit of 11.42% compared to the closing price on September 22. This stock is currently at VND89,300/share.

In another field, VDSC recommends accumulating HAX shares of Hang Xanh Auto Service JSC at a target price of VND 18,300/share.

Accordingly, VDSC said that in the second quarter of 2023, HAX's revenue and after-tax profit were VND 797 billion and VND 2 billion, respectively. For the first half of 2023, the company's revenue and after-tax profit reached VND 1,780 billion and VND 5 billion, respectively, down 44.2% and 96.1% over the same period. This result only reached 3% of the profit target in 2023.

Hang Xanh Auto Company expects sales to increase in the second half of 2023, thereby offsetting modest results in the first 6 months of the year thanks to lower lending interest rates and the decision to reduce registration fees.

VDSC forecasts HAX's revenue and net profit in 2023 to reach VND6,627 billion and VND228 billion, down 2.2% and 4.8% year-on-year, respectively. Equivalent to EPS of VND2,643.

Based on the above factors, Rong Viet recommends accumulating HAX shares. At the end of the session on September 22, HAX was priced at VND15,600/share.

Bao Viet Securities Joint Stock Company (BVSC) recommends positive CTR shares of Viettel Construction Joint Stock Corporation with a target price of VND95,254/share.

Bao Viet Securities said that in the first 8 months of 2023, CTR's net revenue and pre-tax profit grew well, reaching VND 7,066 billion and VND 407 billion, up 20% and 19% over the same period.

In 2023, Bao Viet forecasts CTR's net revenue and pre-tax profit to reach VND10,937 billion and VND642 billion, up 16% and 17% year-on-year. The growth momentum will continue until 2024 with net revenue and pre-tax profit reaching VND12,857 billion and VND726 billion.

Bao Viet said CTR is participating in the bidding for the construction of the 500kV line 3 with an estimated total bidding value of about 4,000 billion VND. If winning the bid, this will be a large source of work for CTR in the next 2-3 years. Along with the real estate market forecast to recover in 2024, it will also help increase the value of newly signed contracts.

The demand for the number of broadcasting stations and the need to operate and exploit new 5G devices is forecast to increase and will also be the driving force for growth in CTR's business segments in the coming time.

BVSC expects 5G to be deployed in 2025. The number of Small Cell stations serving 5G is expected to increase by about 500 stations per year.

On that basis, Bao Viet recommends CTR stock with a target price of VND95,254/share. Currently, this stock is priced at VND75,800/share.

(Analysis and recommendations of securities companies are for reference only).

Source