Company Insight

Initiating coverage with a HOLD recommendation and target price of VND 153,900. Binh Minh Plastics JSC (HOSE: BMP), a leading construction plastics producer ranked second nationwide and first in southern Vietnam, has been part of Thailand’s SCG Group since 2018. The company operates four plants in Ho Chi Minh City, Binh Duong, Long An, and Hung Yen, with a total capacity of 150,000 tons/year. Our HOLD rating is based on: (1) Projected volume growth in 2025, supported by a rebound in residential real estate and public infrastructure projects; (2) Sustained high gross margin driven by lower input costs; (3) Strong cash dividend policy with a payout ratio above 95% of net profit.