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HBC - REDUCE - Growth might not be sustainable - Update

Company Research

16 Oct 2013

HBC expects that FY2013 net profit might tumble by 70% yoy. Despite holding a conservative view of the sector in 2014, HBC still aims for revenue growth, which concerns us as the company’s issue with accounts receivables collection remains. Share dilution is another risk arising. We revised our recommendation from ADD to REDUCE with a diluted target price of VND13,200, pegged against target PER of 7.0x.
Tags: HBC

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