Macro/ Strategy

The VNINDEX in 2025 experienced unpredictable movements. After a year, the index surpassed 1,300 points, but the excitement was short-lived as news of President Trump's retaliatory tariffs led to a record-breaking drop in the index, with two consecutive sessions of declines causing most stocks to hit their floor prices. However, the index did experience a strong recovery and is expected to find a new equilibrium in the 1,200 points area. Since the beginning of 2025, the going green portfolio has seen a return of -7.61%, impacted by the market's decline due to system risks arising from President Trump's retaliatory tariff announcements. 

Business Results Update 2024: Revenue increased by +11% YoY, and net profit dropped by -13% YoY. The reasons include the adjustment of the contract electricity ratio for hydropower to 98%, which caused a decline in the average selling price, as well as a serious gas shortage. The renewable energy sector continues to sell electricity at low transition prices.

Based on the information that the Amended PDP VIII is currently in the approval process, along with a series of supportive policies for the development of renewable energy, we expect many renewable energy power generation companies (such as solar power, onshore wind power, etc.) to benefit significantly from this green trend. Additionally, this is also a defensive stock group, providing a safe haven in case trade tensions escalate. Within the going green portfolio, we favor three stocks with business performance expected to grow better than the industry, namely REE, NT2, and GEG.