Vietnamplus

Analysts of many foreign investment funds and local securities companies expect bank stocks will continue to record positive results in 2022.

Investors have voiced their hopes that a new economic stimulus package would give a boost to the domestic stock market.

Even though the stock market is expected to continue rising, securities firms still warned of some corrections in the short-term due to profit-taking pressure.

The market witnessed strong buying interest last week and analysts from many securities firms expect indices to continue to hit new highs, but have warned investors to be cautious.

With average price-to-earnings (P/E) and price-to-book (P/B) ratios at a five-year low, bank stocks are among the good options available for investors right now, analysts said.

Lack of disclosed information, listing plans and risks of non-performing loans are dragging OTC-traded bank stocks down.

Green margins dominated the stock market on May 20, helping the benchmark VN-Index easily rise by 10.65 points from last week’s last trading day (May 17) to reach 987.13 points.

The benchmark VN-Index ended in green on May 13 when it grew by 5.99 points, or 0.63 percent, from the last trading session of the previous week to 958.54 points.

Investors may keep betting on bank stocks this week, securities firms said, but selling pressure may weigh on the market’s overall performance as local stocks are considered as being overbought in recent days.

The VN-Index on Ho Chi Minh Stock Exchange dropped 8.65 points to close at 1,148.49 points on April 16 as selling pressure hit many large-cap stocks.

A huge purchase of banking shares in the final minutes of the February 27 session on the local stock exchanges drove shares up, after a brief fall at the beginning of the session.

Vietnamese stocks are expected to rise further on expectations of positive corporate earnings reports from the financial-banking sector and a strong inflow of foreign investment, analysts said.

Shares declined on the two national stock exchanges on December 21, dragged by bank stocks, as investor sentiment remained unstable on the market outlook.

Shares rebounded on December 20 after a brief fall on December 19, boosted by energy and bank stocks on investors’ expectation of positive Q4 earnings from these companies.

Shares are forecast to slow down this week in the face of rising profit-taking pressure after a long rally, net selling by foreign investors and uncertainty before the portfolio restructuring period of exchange-traded funds (ETFs).

Vietnamese shares remained positive on both local exchanges on November 14 as banking-financial stocks performed well on strong foreign purchases.

Share increased strongly on the HCM Stock Exchange on October 17 as investor confidence rose for companies that were expected to release good quarterly earnings reports.

Shares continued to rise on the Ho Chi Minh Stock Exchange on October 12, fueled by the growth of several major large caps, while the Hanoi Stock Exchange closed in the negative zone under high selling pressure.

Bank stocks grew on September 21 but failed to lift the VN-Index, which declined for a third day under high selling pressure.

Bank stocks cooled down on Wednesday but the benchmark VN-Index still hit a new 10-year peak at 802.78 points, equivalent to an increase of 0.36 percent over the previous session.