TPB recorded positive purchasing power thanks to attractive valuation

In the recent stock market, TPB shares (Tien Phong Commercial Joint Stock Bank - TPBank) made their mark when they entered the group of leading stocks thanks to their stable foundation, growth potential and deep discount valuation.

TPB increased in the market recovery wave, foreign investors increased net buying

In the first two weeks of July, TPB shares increased by 10%, closing on July 15 at VND 14,750/share. And compared to the bottom on April 9, TPB shares increased by 35%.

The shares of the "purple bank" had a series of exciting trading sessions, especially the session on July 9 witnessed TPB's impressive breakthrough when it increased by 6.79%, accompanied by a matching volume that jumped to 62 million units, equivalent to a trading value of more than VND 900 billion, the highest in more than 3 months.

Notably, TPB shares have witnessed persistent net buying power from foreign investors with 8 consecutive net buying sessions. Since the beginning of July, foreign investors have net bought more than 28 million TPB shares, worth more than VND400 billion, making it one of the bank codes that foreign investors have collected the most in the context of the recovery of the Vietnamese stock market and a marked improvement in investor sentiment.

Currently, TPB shares are being traded at a P/B ratio of only 0.91 times - much lower than the average of the group of listed private banks. With such a deep discount, TPB is considered one of the stocks with attractive valuations in the banking industry today.

According to a recent analysis report, Ho Chi Minh City Securities Company (HSC) continues to include TPB shares in the list of recommendations that can increase the proportion in the long-term investment portfolio. This securities company believes that the current valuation is a conservative reflection of the bank's true potential.

Meanwhile, MBS Research maintains its positive assessment and sets a price target of VND18,200/share. According to MBS Research, TPBank has a clear competitive advantage in the digital banking segment, thanks to its modern technology platform, good access to young customers and solid positioning in the retail segment.

This securities company forecasts TPBank's credit growth to reach 18.8% in 2025 and maintain around 15% in 2026 - surpassing the industry average. In addition, TPBank is shifting strongly to non-interest income sources, especially service fees, thanks to optimizing digital products and a revenue diversification strategy.

Stable business, regular dividends, increasing shareholder value

TPBank is also highly appreciated for its dividend policy that pleases shareholders. In May, the bank paid a cash dividend of 10%. At the same time, the Annual General Meeting of Shareholders approved the plan to issue more than 132 million shares to pay dividends in shares, equivalent to a rate of 5%.

After the issuance, TPBank's charter capital is expected to increase to more than VND 27,740 billion. All capital is drawn from undistributed profits after auditing until December 31, 2024, demonstrating its ability to generate stable profits and its commitment to long-term companionship with shareholders.

Regarding business results, TPBank continues to record positive growth with pre-tax profit in the first 6 months of the year expected to reach over VND 4,100 billion, an increase of more than 12% over the same period. Credit growth reached nearly 11.7%, focusing mainly on retail, controlled real estate and consumer finance - areas that bring high net profit margins.

The bank maintains safe operations, complies with regulations on liquidity, capital adequacy ratio and reasonable credit growth. At the same time, TPBank continuously invests in expanding the digital ecosystem to improve customer experience and increase labor productivity. TPBank is demonstrating a model of a private bank with effective management capacity, sustainable growth and flexibility to adapt to the new context. With a well-implemented digital transformation strategy, controlled asset quality and attractive stock valuation, TPB is considered a potential stock in the portfolio of medium- and long-term investors.