Give us your feedback

ACV – A play on the world’s fastest growing aviation market – Update

Company Note 04/07/2018    189

Share

  • Airports Corporation of Vietnam (ACV) is the country’s monopoly airport operator. It now operates 22 airports nationwide.
  • The company is riding on the country’s buoyant aviation market, which has seen passenger throughput volume expand by a 4-year CAGR of 19.9% (2013-17).
  • We prefer ACV to airline stocks as it is less exposed to rising fuel prices, while being a likely beneficiary of intensifying competition between regional airlines, in our view.
  • Initiate coverage on ACV with an Add rating and a DCF-based TP of VND112,000.
  • We see domestic passenger fee hikes, expected divestment by the MoT and animminent migration from UPCOM to main bourse, as key short-term catalysts.

Market Price

Target Price

Dividend Yield

Rating

Sector

VND88,000

VND112,000

1.14%

N/A

AIRPORTS

Please follow this link for the full report

 

DMCA.com Protection Status