Phân tích Cổ phiếu

Ngày đăng: 08/08/2019

Too many aircrafts for its own demand

We downgrade to SELL rating for HVN with target price of 34,000 VND/share

– International market share will be threatened by Bamboo Airways, who planned to receive B787 for international route at the end of 2019. Bamboo Airways tends to apply full-service strategy, oriented to be a 5-star airline, and compete directly to the flag carrier. With similar services, lower air fare, mysterious attraction, Bamboo Airways could take the international market share from Vietnam Airlines.
– Vietnam Airlines has been reforming its fleet through operating lease in an attempt to be more efficient. Selling old-owned aircrafts will gradually reduce debt pressure, lowering interest expenses and foreign exchange losses. However, it puts more pressure on short-term results due to increasing lease expenses and reducing operating margin as seat capacity could grow faster than passenger demand.
– We maintain our view on VND/USD exchange rate and a lower average fuel price that will favor Vietnam Airlines’ earnings.