LSS came out with its 4Q results on Feb 19, and they were much worse than our expectation. The company had a loss of VND38bn in 4Q as a result of the decline in the sugar price. The company’s balance sheet is also getting weaker with its debt/equity ratio rising from 0.3x to 0.8x, and interest coverage ratio falling from 18.6x to 1.5x. The stock is trading on a very high PER of 21x. We maintain our Sell recommendation.