Analyst Pin-board PHR – Potential valuation is unlocked by rubber land transformation
- In 1H2022, PHR’s revenue posted VND 607 bn (USD 26.4 mn, -19.6% YoY) and NPAT reached VND 355 bn (USD 15.43 mn, +109.1% YoY). Revenue deteriorated due to rubber and wood processing segments. The surge in the bottom line was the result of compensation payment from VSIP 3 and helped lifting performance of the first half.
- PHR has planned to convert 5,600 hectares out of 15,000 hectares rubber farm in Vietnam into industrial parks. Of which, 2,600 hectares area of four IPs including NTC 3, VSIP 3, Tan Lap 1 and Tan Binh expansion might be put into operation in 2022-2024. Which is a huge land bank to develop in long-term.
- In 2022, we estimate that the total revenue and net income will be VND 1,703 bn or USD 73.09 mn (-12.5%YoY) and VND 1,041 bn or USD 44.68 mn (+103% YoY) respectively. Correspondingly, the EPS will be VND 5,194. Based on the sum-of-the-parts valuation (SOTP), the target price is 88,400/share. Adding an annual cash dividend of VND 4,000 per share, the total expected return will be +31.35% (compared to the closing price as of 08/22/2022).
Phuoc Hoa Rubber Joint Stock Company is a Vietnam-based company active in the rubber industry. The Company is engaged in rubber plantations and the manufacturing of rubber products. It processes latex and manufactures basic rubber products, such as Standard Vietnamese Rubber (SVR) products. The Company is also involved in the processing and trading of rubber wood harvested from its rubber plantations. In addition, it is engaged in the operation of gasoline stations. Other activities include construction and real estate operations.
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.