Vietnam Dairy Products Corp. (VNM) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

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Comparison

Company

Score

Quality

Valuation

Financial

Technical

BenTre Aquaproduct Import & Export JSC

Sa Giang Import Export Corp.

IDI International Development & Investment Corp.

Vinh Hoan Corp

Sao Ta Foods JSC

HaLong Canned Food JSC

Ca Mau Group JSC

Nam Viet Corp.

Vietnam Dairy Products Corp.

Sao Mai Group Corp.

Minh Phu Seafood Corp.

Why is Vietnam Dairy Products Corp. ?

Poor long term growth as Net Sales has grown by an annual rate of 0.87% and Operating profit at -4.90% over the last 5 years

Flat results in Jun 25

INTEREST(Q) At VND 88,924.25 MM has Grown at 13.5%
INVENTORY TURNOVER RATIO(HY) Lowest at 5.34%
DEBTORS TURNOVER RATIO(HY) Lowest at 10.28%

With ROE of 24.25%, it has a expensive valuation with a 3.87 Price to Book Value

The stock is trading at a premium compared to its peers' average historical valuations
Over the past year, while the stock has generated a return of -6.23%, its profits have fallen by -12.2%
At the current price, the company has a high dividend yield of 9.1

Consistent Underperformance against the benchmark over the last 3 years

Along with generating -6.23% returns in the last 1 year, the stock has also underperformed Vietnam VN Ho Chi Minh Index in each of the last 3 annual periods

Real-Time Research Report

Verdict Report

How much should you sell?

All quantity irrespective of whether you are making profits or losses

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in FMCG)

When to re-enter? - We will constantly monitor the company and review our call based on new data

Is Vietnam Dairy Products Corp. for you?

Low Risk, Low Return

Absolute

Risk Adjusted

Volatility

Vietnam Dairy Products Corp.

-6.81%

-0.40

26.02%

Vietnam VN Ho Chi Minh Index

29.95%

1.61

21.07%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

0.87%

EBIT Growth (5y)

-4.90%

EBIT to Interest (avg)

35.46

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.46

Sales to Capital Employed (avg)

1.49

Tax Ratio

18.55%

Dividend Payout Ratio

108.15%

Pledged Shares

Institutional Holding

0.01%

ROCE (avg)

62.02%

ROE (avg)

27.54%

Valuation

Valuation Scorecard

Valuation grade scale :

Very Risky, Risky, Very Expensive, Expensive, Fair, Attractive, Very Attractive

Valuation Key Factors

Factor

Value

P/E Ratio

Industry P/E

Price to Book Value

3.87

EV to EBIT

11.46

EV to EBITDA

9.29

EV to Capital Employed

6.42

EV to Sales

1.78

PEG Ratio

Dividend Yield

9.10%

ROCE (Latest)

55.99%

ROE (Latest)

24.25%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

Mildly Bullish

RSI

No Signal

Bearish

Bollinger Bands

Bearish

Moving Averages

Mildly Bullish (Daily)

KST

Mildly Bearish

Bearish

Dow Theory

Mildly Bullish

OBV

Mildly Bullish

Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned

Technical Movement

Analyse All Technical Factors

Financial Trend

Financial Trend Scorecard

Financial Trend scale:

Very Negative, Negative, Flat, Positive, Very Positive, Outstanding

5What is working for the Company

OPERATING CASH FLOW(Y)

Highest at VND 10,551,710.23 MM

RAW MATERIAL COST(Y)

Fallen by 1.9% (YoY

CASH AND EQV(HY)

Highest at VND 50,456,704.76 MM

NET SALES(Q)

Highest at VND 16,724,597.48 MM

-4What is not working for the Company

INTEREST(Q)

At VND 88,924.25 MM has Grown at 13.5%

INVENTORY TURNOVER RATIO(HY)

Lowest at 5.34%

DEBTORS TURNOVER RATIO(HY)

Lowest at 10.28%

Here's what is working for Vietnam Dairy Products Corp.

Operating Cash Flow

Highest at VND 10,551,710.23 MM

in the last three years

MOJO Watch

The company has generated higher cash revenues from business operations

Operating Cash Flows (VND MM)

Net Sales

Highest at VND 16,724,597.48 MM

in the last five periods

MOJO Watch

Near term sales trend is positive

Net Sales (VND MM)

Cash and Eqv

Highest at VND 50,456,704.76 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Raw Material Cost

Fallen by 1.9% (YoY)

MOJO Watch

The company's ability to pass on the cost of raw materials to customers has improved; this may lead to a rise in profit margin

Raw Material Cost as a percentage of Sales

Here's what is not working for Vietnam Dairy Products Corp.

Interest

At VND 88,924.25 MM has Grown at 13.5%

period on period (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (VND MM)

Inventory Turnover Ratio

Lowest at 5.34%

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling inventory has slowed

Inventory Turnover Ratio

Debtors Turnover Ratio

Lowest at 10.28%

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling Debtors has slowed

Debtors Turnover Ratio