- We increase our target price (TP) for MBB by 3.7% to VND28,000/share and maintain our BUY rating. Our higher TP is mainly due to the positive impact of rolling our TP horizon forward to mid-2024F that outweighs (1) a 1.0% decrease in our aggregate 2023-2027F NPAT-MI (2023/24/25/26/27F 0.2%/0.3%/-0.8%/-2.6%/-1.6%, respectively) and (2) lowering our target P/B from 1.30x to 1.10x.
- Our 2023F net income of VND20.0tn (USD846mn; +10% YoY) is roughly the same with our previous forecast as (1) a 20% cut in NOII is offset by (2) a 9.7% decrease in OPEX and (3) a 4.3% decrease in provision expenses.
- MBB is currently trading at a 16% discount to the peer median 2023F P/B at 0.88x with a 2023F ROE of 22.6% vs the peer median of 20.4%, according to our forecast.