Company Insight

Update with BUY call and target price of VND 27,700

Nam Kim Steel JSC (NKG) is the top 3 largest enterprises in the field of galvanized steel with export markets to more than 50 countries globally. Nam Kim's business situation has had many positive changes and the business has returned to profit in 2023. Entering 2024, with domestic and export demand for steel improving strongly, the business results of Nam Kim are expected to have drastic changes. Along with that, Phu My factory will be a long-term growth driver for Nam Kim. We update the target price for NKG shares at VND 27,700, corresponding to an upside of 15%. We use DCF and P/E valuation methods with weights of 70% and 30%, respectively.