PDA

View Full Version : DIGIWORLD CORPORATION​ ​OUTPERFORM​ (DGW : HSX​ ​TECHNOLOGY)



vnstockmarket
07-22-2018, 03:42 PM
Digiworld Corporation​ ​Outperform​ (DGW : HSX​ ​Technology)


http://vnstockmarket.net/recommend-stock/digiworld-corporation%E2%80%8B-%E2%80%8Boutperform%E2%80%8B-dgw-hsx%E2%80%8B-%E2%80%8Btechnology

Digiworld (DGW Outperform) reported very strong 1H earnings with sales coming in at VND 2,641 billion (+70% y/y) while net profit was reported at VND 41.6 billion (+44% y/y). The key growth driver was the handset segment which saw 460% y/y growth in sales.



In our earnings model we forecast that DGW will make sales of VND 5,515 billion (+44.3% y/y) and a NPAT of VND 105.9 billion (+35.0% y/y) this year.



FY2018 strong earnings growth thanks to (1) a strong handset segment as the market expansion services (MES) work for Xiaomi; and (2) also a contribution from high-margin own brands in healthcare supplements and consumer goods.



Market expansion services (MES) are services that helps goods penetrate into an existing or a new market and achieve desired market share during a certain period of time.



Our fair value price is VND 29,600 which values DGW at a 12.0xs forward P/E on FY2018 numbers. Current price looks attractive on FY2018 forward P/E.



Reiterate Outperform.