Investment Recommendation

EVE_BUY_TP 19,000 VND_Upside 16%_Growth from a low background_BSC Company Update

Date

12/05/2022
Language

Tiếng Việt
Number of Downloads

172

Detailed report

VALUATION

BSC recommends BUYING for EVE shares with a target price of VND19,000, (+16% compared to the April 27, 2022 price) for 2022 based on FCFE and PE methods at a ratio of 60%/40%.

BUSINESS PLAN

EVE sets its 2022 business plan of 1 trillion revenues (+15.6% YoY) and 70 billion after-tax profits (+17% YoY) respectively.

FORECAST BUSINESS RESULTS

BSC forecasts 2022 results for EVE of 1.092 billion revenue (+26% YoY) and 81 billion after-tax profit (+36% YoY) respectively. EPS fw in 2022 reached VND 2,150 per share, equivalent to P/E fw of 7.6.

BUSINESS UPDATE

 Revenue and profit after tax in the Q1/ 2022 recovered with revenue reaching 193 billion (+3% YoY) and profit after tax reaching 14.7 billion (compared to the same period of 4.5 billion). Bedding business go sideways while padding are recovering strongly (+21% YoY) when export orders return.

 Revenue structure according to products Q1.2022: Bedding reached 126 billion (+0% YoY), Padding reached 48 billion (+21% YoY) and Cleaner reached 18 billion (-21% YoY), Other reached 18 billion (-6% YoY).

 Gross margin increased from 33.1% to 35.9% as the gross margin of Bedding from 32% to 36%