- We cut our target price for GAS by 5.3% to VND106,400/share but upgrade our rating from MARKET PERFORM to OUTPERFORM as the company’s share price has decreased 14% over the past three months. Our lower TP is due to our 3% lower aggregate 2023-2027F NPAT-MI forecast (respective cuts of 5%/1%/3% for 2023/2024/2025) following our lower 2023 Brent oil price and fuel oil (FO) price assumptions (benchmark for output gas price) as stated in our Oil & Gas Sector Update Report, dated May 10, 2023.
- We forecast 2023F NPAT-MI to decline 22% YoY due to lower output gas prices given our forecasts for 24%/20% lower YoY Brent oil and FO prices, respectively, which outweigh a 7% YoY increase in sales volume.