Portfolio

Here you can find information about the top holdings in the PYN Elite portfolio. The numbers are updated on monthly basis. Altogether, we hold approx. 40 names in PYN Elite Portfolio. More information about the top holdings can be found in the PYN Elite presentation. Following portfolio data updated on the 10th of February 2021.

CTG – Vietinbank

Portfolio weight 10.1%

CTG is the largest bank when measured by the number of branches and the second-largest by balance sheet in Vietnam. The major shareholders are the State Bank of Vietnam and MUFG Bank, the largest bank in Japan. Stock’s rerating is on its way and will continue to boost the valuation. Bank-assurance fees will add also profitability in 2021 and 2022.

Revenue growth*

15.2%

Market cap, MEUR

4 719

Net profit growth

13.5%

Market cap target, MEUR

8 000

Revenue 2019, MEUR

1 278

Target valuation

P/B 2.0

Net profit 2019, MEUR

364

Upside potential

70%

Vinhomes

Portfolio weight 9.5%

Vinhomes is the No. 1 housing developer with a 22% market share in Vietnam with a vast land bank of 164 million square meters in residential GFA. Two Key cities Hanoi and HCMC will be the company’s main growth drivers in the next 10 years. Additional growth from industrial real estate. Construction permitting processes are likely to ease for 2021 2023 to stimulate growth.

Revenue growth*

80.0%

Market cap, MEUR

11 400

Net profit growth

128.7%

Market cap target, MEUR

25 000

Revenue 2019, MEUR

1 987

Target valuation

P/E 12

Net profit 2019, MEUR

837

Upside potential

119 %

TPB – TP Bank

Portfolio weight 9.2%

A small-sized bank, a pioneer in digital services. Key market share in car financing. Major shareholders include Japan’s Softbank and Vietnam’s leading IT technology company FPT. Grows intensely and valuation is attractive. The most challenging are the value ratios for a
small bank and the risk of unpredictable events.

Revenue growth*

41.6%

Market cap, MEUR

992

Net profit growth

53.2%

Market cap target, MEUR

2 100

Revenue 2019, MEUR

217

Target valuation P/B

2.0

Net profit 2019, MEUR

119

Upside potential

112%

VEA

VEA – Vietnam Engine and Agricultural Machinery

Portfolio weight 9.0%

Listed holding company. The business consists of the manufacture of cars and mopeds with joint ventures of Ford, Toyota, and Honda. The company is net cash and pays an excellent dividend, the dividend yield now 12 percent. Maintaining growth is the biggest challenge. Car penetration still very low in Vietnam and offers potential, but the moped business has limitations.

 

Revenue growth*

12.4%

Market cap, MEUR

2 093

Net profit growth**

10.8%

Market cap target, MEUR

4 000

Revenue 2019, MEUR**

6 936

Target valuation

P/E 12

Net profit 2019, MEUR

274

Upside potential

91%

Diamond Fund

Portfolio weight 8.7%

Diamond fund portfolio is based on the basket of VN Diamond 13 stocks selected by the HOSE stock exchange. Fund value follows the VN Diamond index. Target companies in the basket are FOL full companies, which foreigners are prohibited to purchase from normal trading with local prices. Diamond ETF can buy and hold local shares and foreigners are allowed to hold Diamond ETF.

 

P/E forecasts

2020 P/E 14.0

2021 P/E 11.7

2022 P/E 9.8

2023 P/E 8.4

Target valuation

P/E 15

HDB logo

HDB – HD Bank

Portfolio weight 8.7%

A medium-sized bank focusing on general banking, consumer credit, and SME-financing. In steering position is Madam Thao, the richest Lady in Vietnam, the founder of the airline company VietJet. High-quality bank and modest valuation. Prudent style to manage risks.
Whether it can keep up the fast growth is the biggest challenge as well as consumer credit company’s client risks.

 

Revenue growth*

31.6%

Market cap, MEUR

1 375

Net profit growth

62.8%

Market cap target, MEUR

3 000

Revenue 2019, MEUR

375

Target valuation

P/B 2.5

Net profit 2019, MEUR

139

Upside potential

118%

MBB

Portfolio weight 6.6%

MBB is the 5th largest bank by balance sheet, and has a full-fledged banking platform including retail/SME lending, insurance, and brokerage. MBB is a well-run quality bank but valuation is well below peers, due to setbacks of its new move into consumer finance, which caused a stock price slump and gave opportunity to build our positions. The bank is rather conservative, therefore the biggest challenge is to strive for satisfying loan growth.

Revenue growth*

25.2%

Market cap, MEUR

2 480

Net profit growth

33.1%

Market cap target, MEUR

4 200

Revenue 2019, MEUR

693

Target valuation

P/B 2.0

Net profit 2019, MEUR

301

Upside potential

69%

POW – PV Power

Portfolio weight 5.5%

POW is one of the largest energy companies in Vietnam. Generates about ten percent of Vietnam’s electricity. We started buying the company at a low price in the spring of 2020. Problems with EVN seem to be solved and it has boosted the share price recently. Strong
revenue growth is capped by new investments, which always take time to come operational.

 

Revenue growth*

11.1%

Market cap, MEUR

1 035

Net profit growth

3.7%

Market cap target, MEUR

1 500

Revenue 2019, MEUR

1 362

Target valuation

P/E 12

Net profit 2019, MEUR

97

Upside potential

45%

VRE – Vincom Retail

Portfolio weight 4.3%

VRE is Vietnam’s biggest mall operator. Huge potential still ahead because retail and services businesses are still behind to be modernized. In the next 5-10 years much bigger share of those revenues will take place thru modern malls. IFRS implementation will bring VRE’s valuation ratios much lower once it becomes a standard in Vietnam. MoF plans to do so in 2022. Currently all ratios here under the Vietnamese accounting standards (VAS).

Revenue growth

11.7%

Market cap, MEUR

2 567

Net profit growth

27.2%

Market cap target

5 000

Revenue, MEUR

356

Target valuation

P/E 25

Net profit, MEUR

110

Upside potential

95%

ACV – Airports of Vietnam

Portfolio weight 4.2%

ACV manages eight international and thirteen domestic airports in Vietnam. In the balance-sheet, there is a huge valuation difference, because the investments made by the company are still at the acquisition prices. Covid-19-crisis enabled us to enter the stock at low levels. In
2021 ACV will apply for HOSE-listing and the Covid-19-burden will ease.

 

Revenue growth*

8.6%

Market cap, MEUR

5 650

Net profit growth

47.9%

Market cap target, MEUR

11 000

Revenue 2019, MEUR

706

Target valuation

P/RNAV 1.5

Net profit 2019, MEUR

316

Upside potential

95%

*All revenue and net profit growth figures CAGR % 2015-2019
** VEAM growth and revenue figures are holding company’s 2019 readings