Supported by the news of dividend, TPB stock is among the most profitable in the banking group

Since the beginning of the year, TPBank shares have increased by more than 15% in total and are among the group with the highest profitability ratios in the banking industry.

The Vietnam stock market session on March 22 was quite "quiet" when the green color was maintained throughout. VN-Index closed up 8 points, in which banking stocks continued to be the mainstay to support the market with many good gainers such as VPB, VCB, BID, HDB, EIB, TPB, etc.

TPB stock was also one of the banking codes with positive performance today as it gained 0.9% to 21,800 dong/share, with the liquidity doubled yesterday. Since the beginning of the year, this stock has gained a total of more than 15% and is among the group with the highest profitability in the banking industry.

Recently, TPBank closed the list of shareholders on March 21 to pay a 25% cash dividend, equivalent to VND 2,500/share. Expected payment date is April 3.

Previously, right from the beginning of the year, TPBank had consulted shareholders on the plan to pay cash dividends in 2023 and was approved. The payment source will be from undistributed profits until 2021, after setting aside funds according to the audited financial statements.

With nearly 1,582 billion shares outstanding and no treasury shares, it is estimated that TPBank will spend about 3,955 billion VND to pay dividends to shareholders.

TPBank said that the remaining profit and accumulated surplus funds by the end of 2022 reached more than VND 13,364 billion. In which, the undistributed profit until 2021 after setting aside funds is more than VND 5,486 billion.

The fact that TPBank pays dividends in cash is a good sign for shareholders holding TPBank shares. Previously, after many years of pause at the request of the State Bank, TPBank pioneered the payment of cash dividends when it was announced not long ago about this plan.

In 2022, TPBank is the bank with the fastest deposit growth rate in the system, up to nearly 40%.

According to KB Securities Vietnam (KBSV), TPBank's customer deposit growth is higher than the average observed by the banking group (11.0%) in the context of the banking system facing many liquidity difficulties. in the year 2022.

With good deposit growth, meeting the liquidity requirements of the system, TPBank has an advantage over other banks based on the following factors: (1) Having room for credit growth, not blocked by liquidity criteria; (2) The pressure to increase deposit interest rates is low. The deposit interest rate in December 2022 with a 12-month term paying interest at the end of the term of TPBank increased by 1.1% compared to September 2022, which is the second lowest increase in the observed group of banks and at the present time has increased by 1.1%. down 0.1% in February 2023; (3) Expect CASA to recover thanks to a good growth in customer base recently and stable input interest rates.