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VNM [MARKET PERFORM +2.6%] - Input cost tailwinds likely to continue in 2018 - Update

Company Research

13 Nov 2017

We reiterate MARKET PERFORM on VNM, although we raise our TP by 16% attributed to DCF rollover and a 10% upward revision in 2018F NPAT on favorable input milk powder price trend. 9M 2017 NPAT +14% vs 9M 2016 thanks to robust 15% domestic sales growth, underpinned by market share acquisition. Meanwhile, exports -17% vs 9M 2016 due to internal conflicts in Iraq.
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