- We maintain our target price (TP) for TCB at VND42,200/share and our BUY rating.

- The positive impact on our valuation from a 0.9% aggregate increase in our 2023-2027F NPAT-MI projection is offset by our higher assumption for TCB’s cost of equity due to an updated beta. We maintain our target P/B for TCB at 1.2x.

- We maintain our 2023F NPAT-MI virtually unchanged at VND18.5tn (USD785mn; -8.1% YoY) as (1) an 8.8% decrease in 2023F NII following our 38-bp cut in NIM and (2) 7.1% decrease in 2023F NFI (including gains from FX trading) are offset by an 8.5% decrease in OPEX and 30.3% decrease in provision expenses.

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