- We upgrade our rating for SIP from OUTPERFORM to BUY as we raise our target price (TP) by 6% to VND95,800/share as the share price has declined by ~10% in the past three months. 

- Our higher TP is mainly driven by (1) a higher valuation for the IP utilities services segment, and (2) rolling forward our target price to end-2025 from end-2024. 

- We raise our 2024/25/26F NPAT-MI forecasts by 10%/6%/3%, respectively, mainly due to higher-than-expected H1 2024 results from (1) the IP utilities services segment and (2) interest income and BCC profit via its cooperation with The He Moi to develop ready-built-factories in the Loc An – Binh Son IP (LABS; SIP owns 69%).

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