Company Insight

BIDV (BID) – the bank with the largest total assets and loan book among listed banks – is shifting from scale expansion to improving efficiency and growth quality under its 2026-2030 strategy. We initiate coverage of BID with a BUY recommendation and a target price of VND40,800/share, based on a combination of residual income RI (40%) and a target P/B of 1.6x (60%).
Clear five-year growth plan and capital-raising roadmap Under its 2026-2030 plan, BIDV targets average annual growth of over 8% in total assets and PBT, ROE of 15% or higher, an NPL ratio below 1% by 2030 and green credit growth of 1.3-1.5 times overall credit growth. The plan to issue 780 million shares over 2026-2028 will lift CAR from 10.0% to 10.5-11% and gradually reduce state ownership in line with Decision 40/2026/QD-TTg. We project BIDV's PBT to grow at around 12% per year over the next five years.