Company Insight

Hoa Sen Group Joint Stock Company (HSG) is a leading enterprise in the field of galvanized steel sheets in Vietnam. Hoa Sen Group mainly produces galvanized steel products, steel pipes, plastic pipes and retails construction materials. Adverse situation in the steel industry has led to Hoa Sen's declining business results in 2023. However, with a widespread retail system and leading market share in the galvanized steel segment, Hoa Sen is expected to recover strongly in 2024 when the steel industry recovers. We update the valuation of HSG shares at VND 25,800, corresponding to a profit of 22%. We use DCF and P/E valuation methods to value Hoa Sen.