HDBank Shares Surge to All-Time High, Masan Consumer Becomes Vietnam’s Largest Food and Beverage Company
The Hanoi Development Commercial Joint Stock Bank (HDBank) saw its share price soar to an all-time high on December 30, 2024, reaching VND 26,650 per share, a 6.81% increase from the previous session. Trading volume also spiked, with nearly 10.6 million shares changing hands.
This surge marked the fourth consecutive session of gains for HDB, resulting in a 14% increase since December 25. Compared to the beginning of the year, the share price has skyrocketed by over 77%.
As a result, the bank’s market capitalization has surged to over VND 93,143 billion. The rising share price has positively impacted the wealth of HDB’s shareholders, including billionaire Nguyen Thi Phuong Thao, whose holdings are now worth nearly VND 3,485 billion, an increase of over VND 222 billion in a single day.
CTCP Sovico, another significant shareholder, holds over 501 million HDB shares.
HDBank’s strong financial performance has likely contributed to the share price rally. The bank reported a 42.7% year-over-year increase in pre-tax profit for Q3 2024, reaching VND 4,490 billion. For the first nine months of the year, cumulative profit stood at VND 12,655 billion, a 46.6% increase, and the bank has already achieved 79.8% of its full-year profit plan.
In other news, shares of Masan Consumer Holdings also witnessed a remarkable rally, surging 10.78% to close at VND 260,000 per share on the same day. This marked the seventh consecutive session of gains for MCH, pushing it to a new all-time high. Over the past seven sessions, MCH shares have climbed an impressive 18%.
Compared to the VND 75,000 level at the beginning of the year, MCH shares have skyrocketed by a staggering 245%. As a result, Masan Consumer’s market capitalization has surpassed the VND 188,400 billion mark (approximately USD 7.4 billion), making it the largest company in the food and beverage sector on Vietnam’s stock exchange, surpassing even Vinamilk.
Masan Consumer, a subsidiary of Masan Group, has been likened to a “family jewel” by the group’s chairman, billionaire Nguyen Dang Quang, at the 2024 Annual General Meeting. Mr. Quang himself owns 30,417 MCH shares, valued at over VND 7.9 billion.
The rally in Masan Consumer’s shares can be partly attributed to the company’s attractive dividend policy. Investors have been anticipating the payout of hefty dividends, with the ex-dividend date set for December 20 and payment to be made within just 10 days. For the full year 2023, the company distributed approximately VND 19,000 billion in cash dividends, representing a staggering payout ratio of 268%.
Additionally, Masan Consumer has plans to list its shares on the Ho Chi Minh Stock Exchange (HoSE) in 2025, having previously traded on the UPCoM. The company also intends to raise VND 3,268 billion by offering 326.8 million shares to existing shareholders at a price of VND 10,000 per share. The proceeds from this offering will primarily be used to repay debts, further strengthening the company’s financial position.
Masan Consumer’s Q3 2024 financial results also contributed to the positive sentiment. The company reported a 10% year-over-year increase in revenue, reaching VND 7,987 billion. Net income after tax exceeded VND 2,094 billion, a 14% increase compared to the previous year. For the first nine months of 2024, revenue and net income after tax reached VND 21,955 billion and VND 5,553 billion, respectively, representing an 11% and 14% increase year-over-year.
