Ngày đăng: 19/07/2019
Volatile earnings offset by high dividend yield
- We recommend a HOLD for HND with a target price of 14,700 VND/share. Upside potential of our target price comes from (i) information on divestment of The State
Capital Investment Corporation (SCIC) and (ii) higher profit for FY19. However, the possibility that Vietnam Electricity (EVN) may adjust the market mechanism to fix electricity purchase price implies a downside risk.
- Dividend yield could be 6-9% in the period of 2019-2022 and then improved to 18% in FY23 and 21% from FY24 onwards. The dividend payout ratio would be about 78% of net profit. We expect net profit growth will fluctuate widely in the period of 2019-2024.
