We downgrade our rating from M-PF to U-PF and revise down our TP by 6% as we trim our 2019F-2023F NPAT by 3%-7% due to higher milk powder cost and selling expense forecasts. VNM is spearheading Vietnam’s growing dairy consumption. However, 2018 PER of 26.1x looks stretched against a 2018-2021F NPAT CAGR of 7% and a regional peer median of 23.0x.