- We raise our target price (TP) for VHC by 26% but maintain our OUTPERFORM rating as the company’s share price has surged 28% over the past two months.

- We believe VHC’s long-term growth outlook is bright due to (1) the solid footprint of its frozen pangasius fillets in the global whitefish market and (2) the sustainable growth of its high-margin collagen & gelatin (C&G) business.

- We increase our aggregate 2023F-25F NPAT-MI forecast by 12% (respective increases of 24%/10%/8% for our 2023F/24F/25F NPAT-MI) as we expect a more visible frozen fillet earnings recovery in late 2023 and early 2024. In addition, we factor VHC’s new Than Ngoc fruit & vegetable business into our earnings forecasts starting in 2023.

Powered by Froala Editor