LAW

Utilities

Công ty Cổ phần Cấp thoát nước Long An

Điện, nước & xăng dầu khí đốt/Nước & Khí đốtCT

33.000

VND · Last close

Valuation Verdict

Overvalued

Low

-120%Fair Value+120%

Intrinsic Value

10.918

Current

33.000

Gap

-66.9%

ModelDDM 3STAGE

Valuation Breakdown

CT→Điện, nước & xăng dầu khí đốt→Utility

Classified as utility because ICB sector "Điện, nước & xăng dầu khí đốt" maps to the utility group

Model3-Stage DDM

Value = Sum of [DPS x (1+g)^t / (1+Ke)^t] + Terminal Dividend / (Ke - g_terminal)

The Dividend Discount Model values a stock based on its future dividend payments, discounted to present value. The 3-stage variant captures three phases of a company's life: high growth (years 1-3), a transition period where growth declines linearly (years 4-6), and a terminal stage of stable, perpetual growth (year 7+). As John D. Rockefeller said: "The only thing that gives me pleasure is to see my dividends coming in."

Cost of Equity (Ke)

Risk-Free (Rf)

4.50%

Betasector default

0.600

ERP

4.25%

CRP

2.75%

Cost of Equity (Ke)

8.70%

Growth Estimate

fundamental equity blend5.16%

Model Inputs

DPS source:Actual dividends

DPS→517

Payout ratio→29.1%

Valuation

Dividends Per Share

517

Base Growth

5.16%

Cost of Equity

8.70%

Terminal Growth

3.50%

DDM Value

10.918

Value Decomposition

25%

75%

Explicit period (25%)Terminal value (75%)

Valuation Track Record

Retroactive intrinsic value vs actual close price — LAW

Earnings Quality

Fiscal year 2025

Good

Accrual QualityLow accruals vs reported earnings

Cash ConversionOperating cash flow vs net income

100

ReceivablesDSO trend vs revenue growth

100

Margin StabilityConsistency of profit margins

Revenue QualityConsistency of revenue growth

Financial Forensics

Beneish M-Score · 2025

4.78

High Risk

DSRI

1.342

GMI

0.818

AQI

19.578

SGI

1.101

DEPI

1.063

SGAI

1.215

TATA

-0.106

LVGI

1.095

The Beneish M-Score of 4.7764 indicates a significant likelihood of earnings manipulation, as it exceeds the threshold of -1.78. Despite a relatively strong earnings quality score of 76.5, the high DSRI and SGAI values suggest potential concerns regarding revenue recognition and sales growth, respectively.

Red Flags

Beneish M-Score of 4.7764 indicates likely earnings manipulation.
DSRI of 1.3417 suggests increasing receivables relative to sales, raising concerns about revenue recognition.
SGAI of 1.2145 indicates sales growth that may not be sustainable, potentially signaling aggressive revenue recognition practices.

Positive Signals

Earnings Quality Score of 76.5/100 reflects overall strong performance in cash conversion and receivables management.
Cash conversion score of 100.0/100 indicates excellent ability to convert earnings into actual cash flow.

Ownership Risk

The ownership structure is heavily concentrated, with 60.0% held by the local government and 38.1% by a state-owned enterprise, which may lead to potential conflicts of interest and reduced accountability.

Recommendation

Investors should proceed with caution, closely monitoring financial disclosures and management practices. Consider a deeper analysis of cash flow statements to assess the sustainability of reported earnings.

Generated by AI based on quantitative data. Not financial advice.

Quantitative Scores

F-Score

7/9

Strong

Z-Score

2.13

Grey Zone

Sharpe

0.56

Positive

Composite

Fair

Price Risk

Momentum

+37.3%

Volatility

114.4%

Max Drawdown

-49.5%

Key Ratios

Fiscal year 2025

14.07P/E

P/B2.03

P/S1.17

ROE15.1%

ROA7.9%

EPS2445.65

BVPS16970.62

Gross Margin31.1%

Net Margin8.3%

D/E0.99

Current Ratio0.50

Rev Growth10.1%

Profit Growth47.3%

EV/EBITDA6.68

Div Yield0.0%

Company Overview

Issued Shares

12.2M

Charter Capital

122.0B VND

Sector (ICB L2)

Điện, nước & xăng dầu khí đốt

Industry (ICB L3)

Nước & Khí đốt

Sub-industry

Nước

Company Type

// OWNERSHIP_NETWORK

> mapping common ownership for LAW — hover nodes for intel, click to navigate

Shareholders

Ủy Ban Nhân Dân Tỉnh Long An

Indiv

60.0%

7.3 trieu

Công ty Cổ phần - Tổng công ty Nước - Môi trường Bình Dương

Inst

38.1%

4.6 trieu

Board & Management

Võ Trung Cang

Thành viên Hội đồng Quản trị/Tổng Giám đốc/Phó Tổng Giám đốc

Phạm Quốc Thắng

Chủ tịch Hội đồng Quản trị

Võ Minh Thái

Phụ trách Công bố thông tin/Trưởng Ban kiểm soát

Trương Thị Lệ Khanh

Thành viên Ban kiểm soát

Nguyễn Bảo Tùng

Thành viên Hội đồng Quản trị/Phó Tổng Giám đốc

Nguyễn Quốc Phong

Kế toán trưởng

Lều Mạnh Huy

Thành viên Hội đồng Quản trị

Vũ Anh Tuấn

Thành viên Hội đồng Quản trị

Phan Thùy Giang

Thành viên Ban kiểm soát

Top connections

VHC42.3%NQB41.0%VLW38.1%NNT38.1%CTW38.1%DNW38.1%PRT38.1%AIG8.5%DNP3.7%NDT1.3%GDA1.1%

Computed 12/04/2026