SSI Securities (SSI VN): Buy: Well capitalized for upcoming FTSE upgrade

Research evidence excerpt

SSI Securities (SSI VN): Buy: Well capitalized for upcoming FTSE upgrade

OE (%) 14.0 12.8 12.7 13.8

Capital deployment to drive ROE: SSI’s share price has declined recently due to 52-WEEK PRICE (VND)

market concerns around decreasing turnover and high interest rates, at a time when 41000.00

additional capital was raised in anticipation of an upcoming FTSE upgrade in September. 30500.00

Whilst we acknowledge near-term volatility in the market and SSI’s share price, adequate 20000.00

capital would provide SSI room to take advantage of the potential flow. Recall that the 07/25 Target price: 30000.0001/26 07/26

FTSE upgrade will be done in four tranches from September 2026 to September 2027, High: 38665.69 Low: 22700.00 Current: 23200.00

bringing in an estimated USD800m to USD1.2bn in passive flows, per our strategists Source: LSEG IBES, HSBC estimates

(Vietnam’s changing frontier (II), 13 April 2026). We think the FTSE upgrade can also Joy Wang*

boost the market further by boosting retail investors’ sentiment. We note that the margin Head of ASEAN Equity Research and ASEAN Property

The Hongkong and Shanghai Banking Corporation

book today stands at only 1x the enlarged equity (vs the regulatory limit of 2x). Limited, Singapore Branch

joy.wang@hsbc.com.sg

Maintain Buy rating, cut target price to VND30,000: We continue to value SSI +65 6658 0606

using a discounted dividend model (DDM). We cut our target price to VND30,000 Nga Nguyen*

Analyst, ASEAN Equity Research

(from VND38,100 previously) as we decrease our dividend payout assumptions as The Hongkong and Shanghai Banking Corporation

SSI would need funds to support business growth, especially in its margin lending Limited, Singapore Branch

nga.quynh.nguyen@hsbc.com.sg

segment.