The price of VinFast shares climbed 21% on Monday (August 28, 2023), continuing the upward momentum from last week and quadrupling the Vietnamese carmaker’s market value to USD160 billion (around RM743.8 billion).
The company was first listed on the Nasdaq on August 15, and after an initial slump, its share (VFS stock code) price has progressively increased. According to Reuters, VinFast is the world’s third most valuable automaker in terms of market valuation behind Tesla and Toyota.
However, VinFast’s small amount of publicly available shares has made the stock prone to volatility, with shares rising and dropping more than 14% in 11 of the past 12 trading sessions. The company is almost entirely controlled by Pham Nhat Vuong, Vietnam’s richest man and founder of VinFast’s parent company Vingroup, with a stake of about 99.7%.
Despite its considerable market value, VinFast is facing strong competition in the electric vehicle (EV) space, which includes Tesla and other legacy automakers that are heavily investing to gain ground in the EV market. Through June, only 137 VinFast EVs were registered in the United States based on data from S&P Global Mobility.
At present, the Vietnamese automaker sells the VF8 and VF9 in the US, with both models also set to go on sale in Europe. These will be joined by the VF6 and VF7 in the future. VinFast expects to sell around 50,000 EVs this year, which is a drop in the bucket compared to Tesla’s projection to deliver 1.8 million cars.
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It just inflated hyped up valuations as lot of investors play speculations before cashing out.
Reality is that they struggling to sell their cars, reception is poor and most auto journalists claimed it is the most poorly reviewed EV cars in the market.
Bitter truth: Vinfast > Proton
Aiyo… old-news again..
Proton.. lihat apa berlaku.
shhh….Proton and Perodua both asleep being manja manja by government
3rd most valuable? Cannot be. We have the loudest mainland auto companies like Geely, BYD, Chery dan lain-lain. Don’t tell me none of the mainland company is more valuable than an unknown Vietnamese brand? They have been very loud everyday.
boy, because they didnt go listed in Nasdaq to get investors money.
Why only target Chinese car makers? Unknown Viet brand is more valuable than BMW, VW Grp, Rovers, Fiat, Merc, Mazda, Honda etc
this is comedy
Prime candidate for short selling
Remember the saying: “The higher u climb, the harder u fall to the ground…”
SHORT SHORT SHORT SHORT
This is the definition of over valued and shorting is still unavailable for this stock but it will be in a matter of weeks
The higher you climb, the heavier you fall
Sapu Tech companies rules