We upgrade HSG to MARKET PERFORM from UNDERPERFORM following a 65% increase in our target price to VND38,500/share. HSG’s share price has rallied 55% over the last three months. Our target price increase is driven by 1) an increase in FY2021-25F NPAT-MI by 44% on average due to a projected improving EBIT margin, 2) higher targeted P/E of 8.1x compared to 7.8x previously, and 3) lower WACC due to a lower cost of equity.