Vietnam’s stock market has been on a steady rise since late December. As the market gains momentum, investors are looking for new opportunities to put their money in.
Usually, the first stocks to benefit from such trends are the large-cap ones that have strong growth potential and are influenced by macroeconomic factors. Then, the attention shifts to the medium-cap stocks that are less affected by macroeconomic factors. Finally, the penny stocks that have lagged behind in the previous cycle start to catch up.
The market is likely to keep focusing on the large-cap stocks that are influenced by macroeconomic factors. One of the sectors that stands out is Banking, which is expected to perform well from the beginning of 2024.
MSB has been successful in implementing digital transformation
A prominent stock in this sector is MSB of Vietnam Maritime Joint Stock Commercial Bank, which has two key advantages:
Outstanding credit growth compared to the industry average: MSB has consistently outperformed the industry average in credit growth for the past 5 years. In 2023, MSB maintained its edge with a credit growth rate of 23.13%, compared to the industry average of 13.5%.
CASA ranks in the top 4 within the banking industry: This gives MSB a significant edge in capital costs compared to many other banks, with an interest rate of only 0.1% per year for non-term deposits (CASA).