Research Center
Quay lại

NT2 [BUY +21.0%] - Still attractive, even without Nhon Trach 3 - Update

We reduce our target price for NT2 by 7.4%, but maintain our BUY rating as we lower our terminal growth rate from 4.5% to 2.0% to remove Nhon Trach 3’s impact from our valuation. We believe that NT2’s EPS will only decline 3.6% YoY in 2017 despite a gas price increase of 23.8% YoY and a major maintenance of the power plant. EPS will pick up again in 2018 due to Vietnam’s increasing lack of electricity.