CTD to pay 2016 cash dividend of VND5,000/share, 2.4% yield. CTD announced it will pay VND5,000/share for the 2016 cash dividend, equivalent to a dividend yield of 2.4%. The ex-rights date is August 30, 2017 while the payment date is September 14, 2017. This is in-line with the plan approved at this year's AGM. We currently have an OUTPERFORM rating on CTD with a target price of VND230,000/share.
The VN-Index was little changed with less than an hour of trading remaining in Thursday's session when a sharp drop left the market down 0.8% at the close. Trading volume in HCMC soared to USD251 million, however, VP
Bank's first day of trading accounted for USD98 million of the total. The index has fallen 3.2% over the last eight days. Financials were the worst performing sector today, led by BID (-4.0%), which has slumped 13% over the last two weeks after reaching a 21-month high. CTG (-1
Moody’s: Robust growth and economic and financial stability should help contain Vietnam's high Government debt level.In a recent report by Moody’s on the Governments of Cambodia and Vietnam (released on August 15), the credit rating agency pointed out a number of positive prospects of Vietnam’s economy. Though Vietnam has higher government debt than Cambodia, the agency expects continued robust growth and broad economic and financial stability to contain Vietnam's high level of Government debt.
Market wrap: Stocks extend slump amid light trading. The VN-Index fell for a fifth day in six to a three-week low on Tuesday, closing down 0.7% to give back all of yesterday's gain and a bit more. Trading volume in HCMC dropped to USD131 million, well below the average of the last month of USD173 million. VIC (-2.1%) was the top contributor to the loss amid no apparent news catalyst. GAS (-1.6%) slid after the price of Brent crude oil slumped 2.6% in overnight trading.
SKG: Asked to pay USD2.5 million of tax in arrears and penalties for 2010-2015. According to SKG, the local tax authority of Phu Quoc is asking the company to pay a total of VND57.6 billion (USD2.5 million), including VND37.7 billion (USD1.7 million) in tax arrears for 2010-2015, VND5.7 billion (USD251,100) in fines for administrative violations and VND14.2 billion (USD625,600) in penalties for late tax payments.
FPT: Completed the first 30% stake sell-down in FPT Retail. BUY. FPT announced that the company has successfully sold a 30% stake, equivalent to six million shares, in FPT Retail to two institutional investors, namely Dragon Capital and VinaCapital. This is part of FPT’s sell-down of a 40% stake in total in FPT Retail, thereby reducing its effective ownership in FPT Retail from 85% to 45%. The remaining 10% stake is expected to be sold via securities companies before YE2017.
The VN-Index held steady on Thursday, sliding less than a tenth of a percent, after yesterday's sharp sell-off. PVD (+4.1%) popped after Brent crude oil prices jumped to a two-month high in overnight trading.
After jumping 19% year to date, the VN-Index suffered its biggest one-day loss in 19 months on Wednesday, closing at the low of the session, down 2.3%. Escalating threats between the US and North Korea sparked a broad pullback in Asia, though Vietnam had the largest loss of any of the major indices, due in part to the large amount of investment and imports that Vietnam receives from South Korea. However, profit taking probably also played a role in the local sell-off. Large caps, such as SAB
After a two-week rally, the VN-Index paused with a small loss of two tenths of a percent on Tuesday, but held above technical support at 790. Among decliners, VNM (-1.1%) was the top contributor. We reiterated our MARKET PERFORM rating and forecast a total return of 6.5% for the dairy firm in a report published yesterday.
MWG: seeks shareholder approval on increasing M&A budget and new share issuance. BUY. MWG issued EGM documents in which it seeks shareholder approval for an increase in M&A budget from VND500 billion (USD22 million) to VND2.5 trillion (USD110 million). The new budget is reserved for several potential M&A transactions. MWG is in the process of acquiring a consumer electronics (CE) chain in the North.