The market has little prospects to grow in the short term but there arestill opportunities for investors, including Da Nang Rubber Co (DRC)and PetroVietnam Southern Gas (PGS), say FPT Securities Co analysts.
“ Da Nang Rubber had positive performance in the first nine months ofthis year despite economic difficulties and rising input prices,” saidanalyst Nguyen Ngoc Tuan.
DRC had earned 1.97 trillion VND(92.5 million USD) by the end of the third quarter, 85.5 percent of theentire year’s target, and posted a profit of 139 billion VND (6.5million USD), 92.7 percent of the target. It also had higherearnings-on-assets and earnings-on equity ratios than its competitors,and there was potential for the company to increase its margins, Tuansaid.
DRC’s new plant in the central city of Da Nang….was also expected to begin operations next year. The plant was builtat a cost of about 2.4 trillion VND (113 million USD), 70 percent ofwhich came from financing.
The companies’ debt load therefore rose last year but remained low compared to other companies, Tuan said.
“DRC has a long-term potential appropriate for a value investment portfolio,” he said.
DRC shares on Dec. 7 tracked overall market trends and closed down by1.1 percent to 18,700 VND per share after two weeks of gains.
Meanwhile, PGS offered advantages in terms of resources from its parentcompany – PetroVietnam Gas Corporation – and financing fromPetroVietnam Finance (PVF), said analyst Tran Quang Vinh.
PGS currently holds a 33-percent of the southern gas market, and aims to increase this to 50 percent by 2015.
“Profitability indicators for the share are better than for otherfirms, and its share price has been increasing for the past six months,”Vinh said. He recommended buying this stock when it hit around20-23,000 VND on Dec. 7, it declined to a close of 24,000 VND per share.
Shares on the HCM Stock Exchange lost ground overall on Dec. 7, with trades sluggish on both of the nation’s stock exchanges.
On the HCM City bourse, the VN-Index closed at 387.21 points, aslump of 0.77 percent from the previous session. Nearly 31 millionshares changed hands, pulling the value of trades down 19.6 percent fromthe previous day to 406.7 billion VND (19.1 million USD). By theclosing bell, advancers had outnumbered gainers by 133-81.
Blue chips witnessed a harsh day with only Sacombank (STB) out of the10 leading shares by capitalisation posting gains. STB was also themost-active share on the HCM Stock Exchange, with over 2.6 milliontraded.
On the Ha Noi Stock Exchange on Dec. 7, theHNX-Index closed up by 0.43 percent to 62.51 points. Trades slowed to avalue of just 245.2 billion VND(11.5 million USD) on a volume of 26.2million shares, as losers overwhelmed gainers by 174-59.
With three million shares changing hands, VNDirect Securities Co (VND) emerged as the most-active share nationwide./.
“ Da Nang Rubber had positive performance in the first nine months ofthis year despite economic difficulties and rising input prices,” saidanalyst Nguyen Ngoc Tuan.
DRC had earned 1.97 trillion VND(92.5 million USD) by the end of the third quarter, 85.5 percent of theentire year’s target, and posted a profit of 139 billion VND (6.5million USD), 92.7 percent of the target. It also had higherearnings-on-assets and earnings-on equity ratios than its competitors,and there was potential for the company to increase its margins, Tuansaid.
DRC’s new plant in the central city of Da Nang….was also expected to begin operations next year. The plant was builtat a cost of about 2.4 trillion VND (113 million USD), 70 percent ofwhich came from financing.
The companies’ debt load therefore rose last year but remained low compared to other companies, Tuan said.
“DRC has a long-term potential appropriate for a value investment portfolio,” he said.
DRC shares on Dec. 7 tracked overall market trends and closed down by1.1 percent to 18,700 VND per share after two weeks of gains.
Meanwhile, PGS offered advantages in terms of resources from its parentcompany – PetroVietnam Gas Corporation – and financing fromPetroVietnam Finance (PVF), said analyst Tran Quang Vinh.
PGS currently holds a 33-percent of the southern gas market, and aims to increase this to 50 percent by 2015.
“Profitability indicators for the share are better than for otherfirms, and its share price has been increasing for the past six months,”Vinh said. He recommended buying this stock when it hit around20-23,000 VND on Dec. 7, it declined to a close of 24,000 VND per share.
Shares on the HCM Stock Exchange lost ground overall on Dec. 7, with trades sluggish on both of the nation’s stock exchanges.
On the HCM City bourse, the VN-Index closed at 387.21 points, aslump of 0.77 percent from the previous session. Nearly 31 millionshares changed hands, pulling the value of trades down 19.6 percent fromthe previous day to 406.7 billion VND (19.1 million USD). By theclosing bell, advancers had outnumbered gainers by 133-81.
Blue chips witnessed a harsh day with only Sacombank (STB) out of the10 leading shares by capitalisation posting gains. STB was also themost-active share on the HCM Stock Exchange, with over 2.6 milliontraded.
On the Ha Noi Stock Exchange on Dec. 7, theHNX-Index closed up by 0.43 percent to 62.51 points. Trades slowed to avalue of just 245.2 billion VND(11.5 million USD) on a volume of 26.2million shares, as losers overwhelmed gainers by 174-59.
With three million shares changing hands, VNDirect Securities Co (VND) emerged as the most-active share nationwide./.
