REE [OUTPERFORM +14.2%] - 2025 NPAT-MI to rebound on earnings growth in all segments

- We raise our target price (TP) for REE by 5.3% and maintain our OUTPERFORM rating.

- Our higher target price is driven by 1) a higher valuation from the hydropower segment following lower net debt at subsidiaries, and 2) Holdco net cash of VND344bn vs net debt of VND236bn previously. These together outweigh our 4% lower valuation for the office leasing segment following 11% lower-than-expected 2024 NPAT-MI from the office leasing segment.

- We broadly maintain our aggregate 2025-29F NPAT-MI forecast (respective changes of -3%/-5%/0%/4%/1%), in which 24% higher aggregate earnings from real estate offset 1% lower aggregate earnings from the power segment.