Low-priced bank stocks rally ahead of capital increases

OCB (Orient Commercial Bank) plans to issue nearly 197.3 million new shares. Upon completion, its charter capital will increase from VND 24,658 billion to VND 26,631 billion. This capital raise aims to bolster core business activities and enhance the bank’s financial capacity.

A group of bank stocks currently trading below VND 20,000 per share—including SHB, OCB, NVB, MSB, and VBB—is racing against time to complete capital increases before the end of Q3 2025. All of these banks have received approval from the State Bank of Vietnam (SBV) for their plans.

According to OCB’s announcement, the bank will pay dividends for the 2024 fiscal year in two rounds. It plans to issue shares from retained earnings to pay stock dividends at an 8% rate.

As mentioned, the issuance of nearly 197.3 million new shares will increase OCB’s charter capital from VND 24,658 billion to VND 26,631 billion. Earlier, on July 18, 2025, the bank finalized its list of shareholders for a 7% cash dividend payout (VND 700 per share). Altogether, OCB shareholders will receive a total dividend of 15% for 2024—7% in cash and 8% in shares.

On the stock market, as of August 1, OCB shares were trading around VND 12,700 per share, marking a 10% gain since the beginning of the year. The stock's average daily trading volume reached over 3.7 million shares.

OCB also recently released its Q2 2025 financial report, with pre-tax profit reaching VND 999 billion—an 11.2% increase year-over-year. Net revenue for the quarter stood at VND 2,642 billion, up 16.3%. Core business continued to grow steadily, with net interest income rising 9.7% to VND 2,179 billion, driven by expanded credit activity. OCB’s cumulative pre-tax profit for the first six months of 2025 reached VND 1,892 billion.

The bank remains focused on individual and SME customers, startups, green finance, and digital transformation. As of June 30, 2025, total assets reached VND 308,899 billion, up 10% year-to-date. Loans to the economy (Market 1) stood at VND 190,789 billion, up 8.4%, while Market 1 deposits reached VND 153,940 billion, up 8.1%.

Other banks like SHB, NCB, and MSB have also received written approval from SBV for their capital increase plans.

For National Citizen Bank (NCB, stock code: NVB), the share price reached VND 16,800 as of August 1—up 30% year-to-date. The bank posted an estimated after-tax profit of over VND 311 billion in Q2 2025. For the first half of the year, after-tax profit is estimated at over VND 462 billion—significantly higher than the VND 6 billion recorded in H1 2024. As of June 30, 2025, total assets stood at approximately VND 144,054 billion, up 21.6% from the end of 2024 and surpassing the 2025 full-year plan by 6.3%.

NCB’s core business also showed strong performance, with net interest income in H1 2025 estimated at VND 1,262.5 billion—up 155% year-over-year—making it the bank’s primary revenue stream. This growth demonstrates NCB’s correct strategic trajectory and provides a solid foundation for sustainable development.

Other business segments, such as services, forex trading, and securities investment, also recorded profits in Q2 and across the first half of 2025. These results came despite significant macroeconomic volatility and internal challenges, as NCB implements a dual strategy of transformation and restructuring.

NCB aims to increase its charter capital to VND 19,280 billion in 2025. The SBV has approved this plan, and 17 professional investors—including some current shareholders—have registered to participate in the private share issuance. If successful, this will be NCB’s third capital raise in four years (2022–2025), accelerating its capital growth ahead of the approved roadmap. The proceeds will strengthen financial resources and expand long-term funding to support business operations.

Maritime Bank (MSB) also reported solid results for the first half of 2025. As of June 30, total customer lending reached over VND 200,700 billion, representing 13.39% credit growth—higher than the industry average of 9.9%. This growth aligns with improving macroeconomic conditions and lower lending rates.

MSB’s strategic credit allocation across key sectors helped it maintain core business stability. Pre-tax profit for H1 2025 totaled nearly VND 3,173 billion. As of August 1, MSB shares were trading at VND 13,500 each.

SBV recently approved MSB’s capital increase plan from VND 26,000 billion to VND 31,200 billion via a 20% stock dividend distribution, sourced from undistributed profits after audit and reserve allocations for FY2024.

MSB plans to issue up to 520 million new shares to existing shareholders. If fully executed, its charter capital will rise by VND 5,200 billion to VND 31,200 billion. The purpose of this capital increase is to support business operations, comply with risk management regulations, enhance liquidity, strengthen risk resilience, and boost investor and customer confidence.

According to experts, most low-priced bank stocks are raising capital to support core business operations. The additional capital will be strategically allocated to key areas based on market demand, such as technology infrastructure, credit expansion, and other core business activities.

A report from MB Securities (MBS) notes that over 20 state-owned and private commercial banks in Vietnam now meet the capital adequacy requirements of Basel II. Many are moving toward Basel III standards to enhance global competitiveness. In this context, capital increases also serve to align with international risk management benchmarks.

As a result, MBS recommends that investors continue holding low-priced bank stocks (under VND 20,000) in anticipation of further price increases through the end of 2025.