DRC - Getting Through Difficult Times
DRC stock has depreciated owing to the poor performance of the business in the last two quarters. However, with sales maintaining steady growth, in which radial tires are the main driver, and rubber prices forecasted to stabilize at low price range, we hold the view that the performance of DRC would flourish from Q4 2017.
Based on two valuation methods, DCF and PE, with adjustment to the estimation closer to DRC’s actual business results compared to the Company updates on July 14, 2017, we rate NEUTRAL on this stock with the target price of VND28,200 per share. It is also worth noting that the ability of Vinachem's divestment from DRC could be a key diver for the upside potential. This could be similar to the upward trend of price of other companies having similar divestment stories
Viet Dragon Securities belongs to top 20 biggest securities companies in terms of chartered capital in Vietnam. With a qualified, dedicated and professional team, a widespread network, advanced technology, diversified products and services, and good relationship with local and foreign institutions, we provide a wide range of services and products to our clients both individuals and institutions, both local and foreign. We commit to provide our clients with promising investment opportunities and a comprehensive and professional financial investment services.
RongViet Research reports are diversified and abundant, along with in-depth analysis and performed by experienced, highly-qualified and knowledgeable teams. With the objectives of transparency, accurate and timely manner, RongViet believes that our products would always be important sources of information for customers/investors’ investment decisions.”
Unfortunately, this report is not available for the investor type or country you selected.
Browse all ResearchPool reportsReport is subscription only.
Thank you, your report is ready.
Thank you, your report is ready.