Vingroup stocks surge as Vinhomes, Vincom Retail unveil 2025 dividend plans

Shares of companies affiliated with Vingroup rallied sharply on Thursday after Vinhomes and Vincom Retail announced plans to pay 2025 dividends, lifting the benchmark VN-Index despite broad weakness across the market.

The VN-Index rose 24.27 points, or 1.34%, to close at 1,830.47, even as declining stocks outnumbered gainers on the Ho Chi Minh City Stock Exchange by 205 to 97.

Most major sectors, including banking, securities, real estate and steel, ended lower, but gains in Vingroup-related stocks more than offset the broader market weakness.

Shares of conglomerate Vingroup (VIC) hit the daily upper trading limit, closing at VND205,400 ($7.8). Property developer Vinhomes (VHM) also reached its ceiling price of VND144,400 ($5.48) and finished the session with buy orders for more than 3.5 million shares still unmatched.

Shopping mall operator Vincom Retail (VRE) likewise closed at its daily limit of VND30,100 ($1.14) with outstanding buy orders of 1.7 million shares, while Vinpearl (VPL) gained 1.9% to VND90,900 ($3.45).

The four stocks together contributed 33.72 points to the VN-Index's advance, with Vingroup alone accounting for 23.37 points.

Investor sentiment was boosted by announcements that Vinhomes and Vincom Retail would proceed with dividend distributions for 2025.

Late on Wednesday, Vinhomes said its board had approved plans to pay both cash and stock dividends following shareholder approval at its annual general meeting.

The company plans to distribute more than VND24.64 trillion dong ($936 million) in cash dividends, equivalent to VND6,000 ($0.23) per share, with June 30 set as the record date and payment scheduled for the third quarter.

It also plans to issue approximately 4.1 billion new shares as a stock dividend on a one-for-one basis, doubling its charter capital from over VND41.07 trillion to nearly VND82.15 trillion ($3.12 billion).

The record date for the stock dividend has yet to be announced, while the issuance is expected to take place during the second and third quarters.

Vincom Retail separately announced a cash dividend of VND1,000 ($0.04) per share, representing a total payout of around VND2.3 trillion ($87.35 million). The record date is July 1, with payment scheduled for July 22.

The company also said its wholly owned subsidiary, Vincom Retail Operation Co., would distribute VND4 trillion ($151.92 million) in profits to its parent during the second quarter.

As Vinhomes's controlling shareholder with a 72.07% stake, Vingroup is expected to receive more than VND17.7 trillion ($672.24 million) in cash dividends as well as nearly 3 billion newly issued Vinhomes shares. From its 18.37% holding in Vincom Retail, the group is expected to collect roughly VND422.5 billion ($16.05 million) in cash dividends.

Vingroup-related stocks had been among the market's strongest performers between March and May, helping drive the VN-Index to successive highs before entering a correction phase in mid-May following rapid gains.

Market analysts said that, in the absence of fresh macroeconomic catalysts, sizeable dividend distributions by large-cap companies can provide a meaningful boost to investor sentiment and share prices.