Vietnam Daily Market Recap November 20, 2024

Stocks declined in the morning session but rebounded in the afternoon, led by Banks, Real Estate, and Food & Beverage

The VN-Index dropped in early trading but recovered strongly to close up 1.0% at 1,216.54. The HNX-Index followed a similar trend and closed at 221.29, up 0.7%. Trading value across the two exchanges increased substantially by 33.8% (VN-Index) and 60.3% (HNX-Index) from yesterday to reach VND17.6tn (USD693mn) on the VN-Index and VND1tn (USD39.4mn) on the HNX-Index.

The Banking sector (+1%) served as the main pillar, along with Real Estate (+1.6%) and Food & Beverage (+0.9%), contributing to the market’s upward momentum. Conversely, Industrial Goods & Services (-0.4%) and Telecommunications (-1.7%) dragged the market down.

VHM (+2.6%), FPT (+1.9%), CTG (+2%), and TCB (+2%) were the top contributors to the market’s upward trend. Notably, VHM (+2.6%) contributed 1.2 points to the overall index, far surpassing other stocks. VHM’s strong performance was driven by the news that Vinhomes is repurchasing its treasury shares. According to the schedule, Vinhomes has only two days left (November 20 and 21) to complete these transactions. The company has purchased nearly 28 million shares in the first two days of this week, bringing the total buyback to 190 million shares, more than half of the registered amount. On the other hand, VTP (-5%), GAS (-0.4%), and MWG (-1.2%) were the biggest draggers of the VN-Index.

NVL (+4.7%) also supported the real estate sector’s gains with over 12 million shares traded, following the Dong Nai People’s Committee’s approval of the C4 subdivision plan. This decision resolves legal hurdles for the Aqua City project, which had faced delays for over two years. VND3.3tn (USD128mn) boosts investor confidence in bank financing and over VND10tn (USD393mn) in additional infrastructure commitments.

Today’s session saw continued strong foreign net selling, as the strong US dollar and uncertainty around the potential impacts of the US election raise concerns for foreign investors. The net selling value reached VND1,208.9bn (USD47.6mn). Selling pressure focused on VHM with VND340.1bn (USD13.4mn), FPT with VND258.5bn (USD10.2mn), MSB with VND176.4bn (USD6.9mn), and HPG with VND158.4bn (USD6.2mn). Buying activity was relatively modest, focusing on CTG with VND67.9bn (USD2.7mn), DIG with VND48bn (USD1.9mn), and MWG with VND39.1bn (USD1.5mn).

Top contributors today included VHM (+2.6%), FPT (+1.9%), CTG (+2%) and TCB (+2%). Top laggards include VTP (-5%), GAS (-0.4%) and MWG (-1.2%).

Read the full report: HERE