STK – Product mix improvement partially comforted the trade war pain – Update

Company Note 28/10/2019 630

Subdued 9M19 topline due to prolonged trade war pain. 9M19 results came in below our forecast.
9M19 gross profit margin improved on the back of changing product mix. STK is now running at 94% of its 63,000-ton-per-year capacity.
According to Management, the yarn price probably continues its downtrend towards year-end.

Market Price	Target Price	Dividend Yield	Rating	Sector
VND19,150	VND25,200	7.8%	ADD	TEXTILES

Please follow this link for the full report