Daily Market Recap May 31 – TCB, SSI, SZC & KBC Update

Market commentary: Market slides for third day, led by banks

The VN-index closed down 0.4% on Friday, or 4.6 points, to 1,262, the markets third day of losses, while liquidity fell 35% compared to yesterday (VND15.5tn, USD646mn). The HNX-Index also fell 0.4%, closing at 243.

For the month, the VN-Index gained 4.3% (52 points) after falling 5.8% in April. Average monthly trading value was 11.8% higher in May compared to April. Banks (-0.02% MoM) was the only sector to fall in May. In contrast, Oil & Gas (+22.3% MoM), Travel & Leisure (+23.7% MoM) and Insurance (+13.7% MoM) were among the sectors that had the best gains. Net selling of foreign investors took place in 18/20 sessions in May with the strongest foreign selling sessions on May 28 and 29.

Banks (-0.6%, -1.6% WoW), led by VCB (-1.6%) and BID (-1.3%), contributed the most to the market decline (2.8 points lost), followed by VIB (-1.1%), LPB (-1.0%), MBB (-0.5%) and ACB (-0.2%).

Banking stocks were the most net sold over the month, led by CTG (50 million shares, VND1.6tn); VPB (41.4 million shares, VND779bn), HDB (27.5 million shares, VND656bn), TCB (10.3 million shares, VND497bn), BID (VND345bn), VCB (VND304bn) and MBB (VND227bn). As a result, VCB (-4.4% MoM) fell the most within the sector, followed by BID (-4.3% MoM), CTG (-2.5% MoM), HDB (-1.5% MoM) and MBB (-0.1% MoM) over the month.

Real estate (+0.1%) eked out a gain, led by VRE (+0.7%), VIC (+0.9%), NVL (+2.1%), PDR (+0.8%), NLG (+0.7%) and DIG (+0.5%). VHM (-0.4%) increased 1.5% in the morning session but closed down after foreign investors net sold VND465bn (USD19.4mn) today.

ANV (+5.0%) performed well thanks to improvement in pangasius exports. According to the General Department of Customs, pangasius export turnover is estimated to have increased by 2% to reach USD725mn in 5M24. The Vietnam Association of Seafood Processing assesses that the pangasius export environment will improve further from 3Q24, making pangasius export prices increase by 10% from now.

ADS (+6.9%), an enterprise that mainly exports yarn and towels to China and Japan, went ceiling up today. ADS recorded revenue growth of more than 20% in 1Q24. Raw cotton prices recorded a decrease of 3.8% in the past three days and 34.2% since the end of February.

ACV (+3%) held its annual general meeting today. In addition to 5M24’s good business results, implemented projects are making good progress. The General Director of ACV said that Tan Son Nhat Terminal 3 project with a capacity of 20 million domestic passengers per year is ahead of its set schedule and will be put into operation by April 2025. Moreover, the Long Thanh International Airport project is progressing smoothly and may be 60 to 90 days ahead of schedule.

Read the full report: HERE