Analyst predicts VinFast’s profitability and growth in the EV market

  • BTIG analyst initiates coverage of VinFast Auto with a Buy rating and $10 share price target
  • Analyst predicts VinFast to break even on an Ebitda basis by 2026
  • VinFast stock rises 2.3% in premarket trading following the bullish call
  • Shares of VinFast dropped almost 16% on the first trading day of the year
  • Volatility in VinFast stock has decreased but remains at an average of 4% daily

BTIG analyst Greg Lewis has initiated coverage of VinFast Auto with a Buy rating and a $10 share price target. Lewis predicts that VinFast will break even on an Ebitda basis by 2026, with sales expected to grow from $1.3 billion in 2023 to $7 billion in 2026. This bullish call has caused VinFast stock to rise by 2.3% in premarket trading. However, shares of VinFast dropped almost 16% on the first trading day of the year, likely due to profit-taking. Since its SPAC merger in August, VinFast stock has been exceptionally volatile, with shares moving an average of 11% daily. Although volatility has decreased slightly, shares still move an average of 4% daily. With only four analysts covering the stock, more coverage from Wall Street analysts is expected to help stabilize the stock further.

Public Companies: VinFast Auto (N/A), Rivian Automotive (N/A)
Private Companies:
Key People: Greg Lewis (BTIG analyst)

Factuality Level: 7
Justification: The article provides information about VinFast Auto stock and the analysis of BTIG analyst Greg Lewis. It includes specific details about the company’s sales projections and stock performance. However, the article lacks additional sources or perspectives, and there is no mention of potential risks or challenges that VinFast may face in achieving its targets. Overall, the article provides some factual information but could benefit from more comprehensive reporting.

Noise Level: 3
Justification: The article provides information about VinFast Auto stock and its potential growth, as well as the volatility of its shares. It includes some financial terms and mentions the performance of other EV start-ups. However, it lacks in-depth analysis, evidence, and actionable insights. The article also diverts into discussing Rivian Automotive stock, which is unrelated to the main topic.

Financial Relevance: Yes
Financial Markets Impacted: VinFast Auto stock

Presence of Extreme Event: No
Nature of Extreme Event: No
Impact Rating of the Extreme Event: No
Justification: The article pertains to the financial topic of VinFast Auto stock and its coverage by BTIG analyst Greg Lewis. There is no mention of an extreme event.

Reported publicly: www.marketwatch.com