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. 30 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 September 2021.

Vinhomes

Portfolio weight 18.8%

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

70.8%

Market cap, MEUR

13 371

Net profit growth

102.9%

Market cap target, MEUR

25 000

Revenue 2020 MEUR

2 513

Target valuation

P/E 14

Net profit 2020, MEUR

961

Upside potential

87%

TPB – TP Bank

Portfolio weight 10.5%

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

49.2%

Market cap, MEUR

1 488

Net profit growth

44.2%

Market cap target, MEUR

2 500

Revenue 2020, MEUR

364

Target valuation P/B

2.0

Net profit 2020, MEUR

123

Upside potential

68%

VRE – Vincom Retail

Portfolio weight 9.4%

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

6.9%

Market cap, MEUR

2 363

Net profit growth

16.9%

Market cap target

5 000

Revenue 2020, MEUR

293

Target valuation

P/E 16*

Net profit 2020, MEUR

84

Upside potential

112%

HDB logo

HDB – HD Bank

Portfolio weight 9.0%

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

33.5%

Market cap, MEUR

1 916

Net profit growth

52.6%

Market cap target, MEUR

3 000

Revenue 2020, MEUR

484

Target valuation

P/B 2.5

Net profit 2019, MEUR

149

Upside potential

57%

VEA

VEA – Vietnam Engine and Agricultural Machinery

Portfolio weight 8.9%

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**

5.6%

Market cap, MEUR

2 166

Net profit growth**

5.2%

Market cap target, MEUR

3 800

Revenue 2020, MEUR**

5 206

Target valuation

P/E 12

Net profit 2020, MEUR

198

Upside potential

75%

MBB

Portfolio weight 8.6%

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

30.2%

Market cap, MEUR

3 956

Net profit growth

27.1%

Market cap target, MEUR

7 000

Revenue 2020, MEUR

961

Target valuation

P/B 2.0

Net profit 2020, MEUR

290

Upside potential

77%

CTG – Vietinbank

Portfolio weight 8.4%

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

19.2%

Market cap, MEUR

5 764

Net profit growth

19.2%

Market cap target, MEUR

12 000

Revenue 2020, MEUR

1 592

Target valuation

P/B 2.2

Net profit 2020, MEUR

481

Upside potential

108%

ACV – Airports of Vietnam

Portfolio weight 7.0%

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

-10.0%

Market cap, MEUR

6 750

Net profit growth

-0.8%

Market cap target, MEUR

14 000

Revenue 2020, MEUR

273

Target valuation

P/RB 1.5

Net profit 2020, MEUR

58

Upside potential

107%

NLG

NLG – Nam Long

Portfolio weight 5.6%

Nam Long, the strongest Vietnamese brand for affordable housing, a residential developer in Ho Chi Minh City area. The company has several projects in progress, some of which include Japanese partners. Company is in a good shape. Most challenging at the moment: huge Water point -project in the suburbs of Saigon.

 

Revenue growth

12.0%

Market cap, MEUR

466

Net profit growth

32.3%

Market cap target, MEUR

550

Revenue 2020 MEUR

78

Target valuation

P/E 12

Net profit 2020 MEUR

29

Upside potential

18%

SCS – Saigon Cargo

Portfolio weight 2.2%

Saigon Cargo Service Corporation is one of Vietnam’s leading air freight companies. Even during a pandemic, the company has been able to make a reasonably good result. We bought the stock in early spring after the price drop. In terms of expansion, it is challenging to find suitable acquisition candidates.

Revenue growth

15.2%

Market cap

265

Net profit growth

28.0%

Market cap target

420

Revenue 2020

24

Target valuation

P/E 18

Net profit 2020

16

Profit potential

58%

All revenue and net profit growth figures CAGR % 2015-2020
All revenue, net profit and market value figures in millions of EUR
*IFRS based P/E
**VEAM growth and revenue figures are from 3 associate companies combined revenue