Daily Bulletin. TCSC Research T: E: Market Review: Rebounding Company News:

Transcription

1 29 April 2014 Daily Bulletin Market Review: TCSC Research T: E: research@tcsc.vn Rebounding Company News: In Focus: Short News SHB may merge with Vinaconex - Viettel Finance Company Foreign currency reserve reached a new record Top foreign Trading VN-index /+0.86% (mn shares) Total value (USD Foreign Net Buy (USD Stock BUY Stock SELL Price Price HT1 10, ,000 HAG 26, ,630 CTG 15, ,000 VIC 65, ,710 VCB 28, ,110 VIP 11, ,000 SVC 15, ,190 BVH 36,700 78,740 ITA 8, ,200 HAR 8,800 60,800 HNX Stock BUY Stock SELL Price Price PVS 26, ,100 PVX 5, ,000 VCG 14,000 13,900 SHB 9,700 88,900 PCT 5,400 10,000 PVI 19,400 43,000 SNG 23,000 9,300 PGS 29,300 23,000 GLT 16,300 8,100 KLF 13,600 21,000 HNX-index /+0.29% (mn shares) 3172 Total value (USD Foreign Net Buy (USD Index % Down Jones 16, FTSE Hangseng 22, Kospi 1, Nasdad 4, Nikkei , S&P 500 1, Shanghai 2, Thailand 1, P a g e

2 Top 5 stocks bought/sold by foreign investor : BUY GAS 99, , VIC 65, , HAG 26, , PVD 85,000 69, KDC 56,000 85, SELL VNM 139, , VIC 65, , HAG 26,000 1,013, GAS 99,500 76, PVD 85,000 71, HNX: BUY Market Review VN-Index recovered fairly well with 4.9 points in equivalence of 0.86% to close at 578. Gainers outnumbered losers, 106:89. The market liquidity continued to reduce by 13.12% in volume and 29.4% in value to million shares and VND bln, respectively. The trading value in put-through accounted for 19.1% total trading value in equal to VND175.1 bln. Net purchase value of foreign investors increased about 79.25% to VND9.16bln. HNX-Index rebounded slightly 0.23 points equal to 0.29% to close at as well. Advancers outpaced laggards, 101:86. The trading volume kept going down by 14.1% to million shares worth VND318.84bln. Foreign investors continued to be net buyers, but their net buying value decreased extremely strong to VND mil. In our watch, the recovery of market was mainly contributed by the gain of some blue-chip stocks with large-cap, specifically GAS (+2.6%) and MSN (+2.67%). Along with that, some penny and mid-cap stocks rallied a bit as well. It showed that the selling force was tending to fall while the purchasing power was weak too. In other words, the investor has been being conservative in the current; especially in holidays. We think that the market will possibly continue to move in narrow margin in order to accumulate gradually; and the liquidity will be low in next sessions after holidays. The resistant level of VN-Index is at , and the support level is in short term. In medium and long terms, we think that the market will keep going up when the economy is gradually recovering. PVS 26, , SNG 23,000 9, VCG 14,000 13, GLT 16,300 8, VCM 18,000 7, SELL PVS 26,000 66, SHB 9,700 95, PVX 5, , PVI 19,400 43, In technical, VN-Index is being supported strongly in a range of ; and this recovery is considered as reinforcement signal before holidays. The market will possibly continue to accumulate in a range of in order to make a pace for a new rising period. PGS 29,300 23, P a g e

3 Top 5 largest trading volume stocks : FLC 10,600 6,905,210 ITA 8,400 3,051,500 HAG 26,000 1,799,680 HQC 7,000 1,794,810 IJC 12,400 1,493,190 HNX: PVX 5,100 4,129,630 SCR 9,100 3,228,900 KLS 11,800 2,115,750 SHB 9,700 2,044,250 VCG 14,000 1,210,800 Top 5 largest trading value stocks : HNX: (USD FLC 10, HAG 26, GAS 99, VIC 65, FPT 68, SCR 9, KLS 11, PVX 5, SHB 9, VCG 14, HNX-Index keeps accumulating in a support level at 38.2% of Fibonacci indicator. Along with that, the fall in trading volume shows that the market is accumulating to prepare for new uptrend. Company News SHB may merge with Vinaconex-Viettel Finance Company According to some large of shareholders of Vinaconex - Viettel Finance Joint Stock Company (VVF), SHB and VVF merger plan in which VVF will merge into SHB. Accordingly, VVF''s shareholders will have 2 options of converting VFF shares in SHB shares or receiving cash. Besides SHB, VietinBank has also negotiated with VVF negotiations on a consolidation plan. VietinBank proposal is assessed as similar to that of SHB. Currently, VVF restructuring plan is being submitted to the authorities for comments and approval. VVF has charter capital of VND 1 trillion, in which Vinaconex owns 33% equity and Viettel owns 21%. The two are now planning to divest from VVF. BIDV raises chartered capital to VND33.5 trillion BIDV shareholders have approved a proposal for raising the bank s chartered capital to VND33.5 trillion from VND28.1 trillion. In the capital increase plan, the Bank for Investment and Development of Vietnam will sell shares to its current investors and strategic shareholders, and pay a dividend by shares. The forthcoming share sale will lead the State ownership of the bank to fall to 86.66% from the current 95.76%. The bank said its listing on the HCMC stock exchange early this year had set a foundation for an upcoming sale of shares to a strategic foreign investor. At the bank s general meeting last Friday, shareholders asked whether or not the bank was planning to merge with another credit institution, Tran Bac Ha, chairman of the bank, said since the State remains a majority stakeholder, the bank will not do that unless otherwise approved by the State. 3 P a g e

4 Trading by sector: Sector Retail -0.35% Insurance 0.22% Technology 1.30% Petro 0.39% Public services -0.34% Financial services -2.01% Consumer Goods -0.05% Entertainment -4.82% Commodities -0.06% Chemical -1.29% Banking 0.04% Auto parts -0.24% Resources -0.61% F&B -1.00% Media & Telecom 2.04% Construction & Materials -2.17% Health 0.32% Transactions of 10 largest market cap stocks: % OutSt Share ( Market Cap GAS 99, ,895 8,928 VNM 139, ,486 MSN 96, ,195 VCB 28, ,317 3,160 VIC 65, ,818 CTG 15, ,187 2,384 BID 15, ,606 1,950 BVH 36, ,182 STB 19, ,127 1,051 PVD 85, ,018 HNX % OutSt Share ( Market Cap ACB 16, % PVS 26, % SQC 78, % The 2014 targets the bank set at the meeting are 13% growth in outstanding loans, profit before tax at VND6 trillion, a bad debt ratio of less than 3% and a dividend of 9% or higher. Last year the bank sold more than VND1 trillion worth of bad debt to the Vietnam Asset Management Company and will sell another VND2 trillion to this debt trading firm this year. The bank last year mobilized nearly VND trillion, up 16.4% versus the previous year, and reported total outstanding loans of VND392 trillion, up 16.7% from a year earlier, and pre-tax profit of VND5.3 trillion, 12% higher than the 2013 target approved by shareholders. Its return on asset was 0.78%, its return on equity was 13.8% and its dividend was 8.5%. DRL: Holding Firm Makes VND47Bln Net Profit in Q1/2014 Hydro Power Joint Stock Company Power No.3 (DRL) s holding company made a net profit of VND47.2 billion in Q1/2014, falling 35% from a year back. The firm attributed its lower profit to lower selling prices in the period. The HOSE-listed company generated net revenue of VND171.4 billion in the quarter, against VND226.8 billion from a year earlier, the firm said in its quarterly financial statements posted on the HOSE s website. Bao Minh Insurance To Raise Charter Capital to VND830.5 Bln Shareholders of Bao Minh Insurance Joint Stock Corporation (BMI) have approved the plan to increase its charter capital from VND755 billion to VND830.5 billion by stock offering to existing shareholders, local newswire Securities Investment reported. BMI s shareholders also approved the business plan in 2014 with total turnover of VND2,896.7 billion, including VND2,443 billion original insurance premium, VND300 billion reinsurance premium and VND153.7 billion revenue from financial activities. Operating profit from original insurance is targeted at VND60 billion, profit after tax is at VND109.8 billion. According to the consolidated financial statements in 2013, the company total turnover reached VND2,792 billion, including VND2,306 billion original insurance premium and VND290 billion reinsurance premium. Operating profit from original insurance was VND55 billion, profit after tax was VND91 billion. SHB 9, % VCG 14, % PVI 19, % OCH 25, % LAS 40, % NTP 73, % VNR 29, % P a g e

5 Rates: Exchange rate(vcb) 28-Apr 29-Apr (%) US$/VND 21, , % EUR/VND 28, , % Yen/VND % Trade: External factors Jan-14 Feb-14 Mar-14 Export mn,) 11,300 11,920 11,600 Import mn,) 11,600 11,320 11,220 Trade Balance mn,) Implement FDI mn,) 8,620 7,560 6,650 In focus: Foreign currency reserve reached a new record The governor of State Bank has announced that the foreign currency reserve has reached the highest record, about $35 billion. Besides that, the governor also stated that the monetary policy should be firmly stable to facilitate the Companies to build up the business ways and to recover gradually until the end of year. We realize that the rise in foreign currency reserve will be positive signal so that SBV continues to stabilize the exchange rate this year. Furthermore, it will be a chance to consider reducing or remaining constantly the saving rate of USD currency. Therefore, this will raise the value of domestic currency in next time. In other words, it will be a factor to control inflation at low this year. The governor of SBV also will continue to require adjusting down the loan rate for the previous credit contracts to support the companies in difficulty stage. Until now, the loan rate above 13% only accounts for 16% total loans in banking system. Vietnam's Money Supply Rises 3.9% Vietnam's total money supply, or M2, as of April 22 was up 3.93% from the end of 2013, the State Bank of Vietnam said Friday. Total bank deposits as at April 22 were up 3.09% from the end of 2013 while total outstanding loans at banks on that date rose 0.62% from the end of 2013, the statement said. Vietnam is expected to keep the growth of total outstanding loans at between 12% and 14% in 2014, it noted. The government of Vietnam targets an economic growth of 5.8% this year and 6.5% inflation, it added. In 2013, Vietnam''s M2 soared 18.51% compared with the previous year and total outstanding loans jumped by 12.5%. State Treasury Sells Out VND8 Trillion Government Bonds on Apr 28; Yields Down In the auction, the State Treasury planned to sell VND8 trillion worth of government-backed bonds, distributed equally at VND2 trillion for 2-year, 3- year, 5-year and 10-year terms. For 2-year term, VND2 trillion worth of bonds of were sold at 5.58%, down 0.08% from that of the previous auction (April 17, 2014). For 3-year term, VND2 trillion worth of bonds were sold at 6.07%, down 0.13% from that of the previous auction (April 17, 2014). For 5-year term, VND2 trillion worth of bonds were sold at 7.12%, down 0.12% from that of the previous auction (April 17, 2014). For 10-year term, VND2 trillion worth of bonds were sold at 8.7%, equal to from that of the previous auction (March 27, 2014). Year to date, the State Treasury has sold a combined VND81, billion worth of government bonds. 5 P a g e

6 Event Calendar: s Bourse Ex-right date Event UIC 06/05/2014 Cash dividend payment for 2013, VND1,500/share SEB HNX 06/05/2014 AGM 2014 OPC 06/0/2014 Cash dividend payment for 2013, VND1,500/share TCS HNX 07/05/2014 Dividend payment for 2013, VND1,100/share CII 07/05/2014 Bond purchase right, rate 100:1, at VND1,000,000/bond NBS UPCOM 07/05/2014 AGM 2014 CT6 HNX 07/05/2014 Cash dividend payment for 2013, VND1,200/share TCT HNX 07/05/2014 AGM 2014 FPT HCM 07/05/2014 The remaining cash dividend payment for 2013, VND1,500/share; & stock dividend payment at the rate of 4:1 07/05/2014 The second cash dividend payment for 2013, VND1,200/share VC2 HNX 08/05/2014 Cash dividend payment for 2013, VND1,000/share PSC HNX 08/05/2014 Cash dividend payment for 2013, VND1,000/share DXP HNX 08/05/2014 Cash dividend payment for 2013, VND3,500/share VCM HNX 9/05/2014 Cash dividend payment for 2013, VND3,000/share SDG HNX 9/05/2014 Cash dividend payment for 2013, VND1,000/share CID HNX 9/05/2014 AGM 2014 ACB HNX 13/05/2014 Cash dividend payment for 2013, VND700/share THT HNX 14/05/2014 Cash dividend payment for 2013, VND1,300/share PPC 14/05/2014 Interim cash dividend payment for 2013, VND800/share HSG CPC HNX 21/05/2014 The second cash dividend payment for 2013, VND1,000/share 28/05/2014 The second cash dividend payment for 2013, VND1,000/share 6 P a g e

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