Vietnam stock market had a terrible performance in July, with a max drawdown of around 10%. Better-than-expected earnings helped the market recover part of its losses. Vietnam’s infrastructure investments are large, and the rapid pace of implementation is adding pressure to an already tight funding environment. Real interest rates continued to rise. Against this backdrop, the leading jewelry retailer PNJ was hit by a diamond smuggling case involving a former employee. There was no evidence of company wrongdoing, but the case triggered a large wave of gold and diamond sell-backs to PNJ. Concerns about PNJ’s solvency pushed its shares down sharply, triggering margin calls and forced selling in many other stocks. In July, VN-index fell 6.7% while PYN Elite -8.5%.
Macro: Vietnamese companies reported strong earnings growth in 2Q2026, beating expectations by a wide margin. Market-wide revenue +38% YoY, while net profit +49% YoY. Macroeconomic data also remained strong. PMI rose to 52.9 in July from 51.8 in June, driven by a strong rise in new export orders. In July, the Index of Industrial Production (IIP) +14.5% YoY, retail sales +14.5% YoY, exports +25% YoY, and FDI registration +32.3%.
PYN Elite Stock of the Month: MWG
Mobile World delivered another quarter of exceptional profit growth. In 2Q2026, group revenue rose 29.6% YoY, while net profit more than doubled. For 1H2026, net profit grew 88%. This was not from a low base, as profit had already grown 54% YoY in 1H2025. All major businesses showed strong progress. The grocery chain BHX opened new grocery stores faster than planned, and the new stores met management’s profit expectations. Older stores also became more efficient, with single-digit revenue growth and store-level profit rising +30% YoY. The consumer electronics chain DMX continued to gain market share. In 1H2026, its sales of Apple phones rose 50% YoY, laptops 35% YoY, air conditioners 60% YoY, and refrigerators 35% YoY.