Report

Analyst Pin-board: KDH – Business results are forecasted to lack the growth drivers

  • Sales activity recorded a positive return at the end of 3Q22 with the new launch of The Classia project – phase 1, sales results recorded at a high level of 96%. According to the plan, the phase 2 is likely to open for sale in November. In addition, the high-rise projects of The Privia and The Clarita are also expected to launch in 2023. In addition, the projects of 11A - Phase 1 and the expanded Le Minh Xuan IP are also in the legal completion stage, we expect that these two projects will be open for sale in 2024.
  • In 3Q22, Rong Viet estimates revenue and NPATMI to reach VND 952 billion (+30% QoQ and -21% YoY) and VND 409 billion (+26% QoQ and +29% YoY). In 2022, we forecast the revenue and NPATMI to be VND 2,779 billion, -26% YoY and VND 1,443 billion, +20% YoY, respectively, completing 70% and 103% of 2022 plan. EPS is estimated at VND 1,954/share.
  • We maintain our BUY recommendation for KDH stock with a holding of more than 12 months. The adjusted target price of VND 37,300 per share, upside of +41% compared to the closing price of October 18, 2022 (6,360 VND lower than the target price in the report on October 4, 2022, due to an adjustment in the discount rate in line with the increasing trend of interest rates
Underlying
Khang Dien House Trading & Investment

Khang Dien House Trading and Investment Joint Stock Company (KHADIHOUSE) is a Vietnam-based company engaged in real estate operations. The Company invests in the development, leasing and trading of houses, villas, apartment buildings and infrastructures for residential areas, as well as land, office buildings and commercial centers. It is also involved in the construction of civil and industrial structures, such as residential and nonresidential buildings, highways, streets and bridges. On May 5, 2014, the Company announced that it has divested all of its stake in Phuoc Long Real Estate Investment Trading Co Ltd.

Provider
Viet Dragon Securities
Viet Dragon Securities

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.

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Analysts
My Tran

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