Mid- and small-cap stocks lift VN-Index close to 1,340-point mark

Mid- and small-cap stocks lift VN-Index close to 1,340-point mark

Market breadth was strongly tilted towards gainers, with 230 stocks rising versus just 88 declining.

A Vietnam Airlines aircraft is parked on the runway at Tân Sơn Nhất Airport, HCM City. The airlines' HVN shares led the entire market as the VN-Index approached the 1,340-point mark. — VNA/VNS Photo

Việt Nam’s stock market rallied on Tuesday, driven largely by strong inflows into mid- and small-cap stocks, pushing the VN-Index close to the 1,340-point threshold. Liquidity improved slightly, although foreign investors continued to post strong net selling.

The underperformance of major large-cap stocks weighed on the VN-Index, yet the broader market maintained solid momentum. This marked a reversal from previous weeks, where gains were largely carried by a handful of blue chips, leaving most investors sidelined as smaller stocks failed to follow suit.

Even during the morning session — when the VN-Index hit its intraday low at 9.43am after falling nearly three points — the market breadth remained positive, with 145 gainers outpacing 100 decliners. In the afternoon, money continued to flow into mid- and small-cap shares, helping the VN-Index recover and close firmly in positive territory.

At the close, the VN-Index on the Hồ Chí Minh Stock Exchange (HoSE) rose by 7.3 points, or 0.55 per cent, to 1,339.81.

Market breadth was strongly tilted towards gainers, with 230 stocks rising versus just 88 declining. Total market liquidity rose slightly by 8.2 per cent compared to the previous session, reaching VNĐ25 trillion (approximately US$965.5 million).

The VN30-Index, which tracks the 30 largest listed firms by market capitalisation, also rose modestly by 3.6 points, or 0.25 per cent, to close at 1,427.45. Within the basket, 14 stocks gained, 11 declined and five were unchanged.

Tuesday’s standout performer was Vietnam Airlines JSC (HVN), which surged 4.15 per cent — marking its fourth gain in the past five sessions.

Other notable gainers included Vinhomes JSC (VHM), the Bank for Investment and Development of Vietnam (BID), which climbed 1.26 per cent, and FPT Corporation (FPT), which rose 1.45 per cent.

On the downside, several large-cap stocks fell, putting pressure on the overall index. Leading the decliners was Vinpearl JSC (VPL), down 3.11 per cent, followed by Vietcombank (VCB), which slipped 0.35 per cent, and LPBank (LPB), down 0.92 per cent.

Analysts at Saigon – Hanoi Securities (SHS) commented: “After three consecutive weeks of gains, the VN-Index faced notable selling pressure early in the final trading week of May, particularly among large-cap stocks near the previous peak from March 2025.”

“Many stocks are still trading at relatively reasonable valuations based on their fundamentals. However, the VN-Index is currently hovering around the 1,340-point resistance zone — its earlier peak. We believe this is not an ideal level for additional disbursement. A better entry point would be during a sharp pullback to around 1,300 points, as previously outlined in our market reports. Any new investment positions should be selectively placed, based on long-term growth prospects,” they added.

“Investors should maintain a balanced portfolio. Focus should be placed on stocks with strong fundamentals and leading positions in strategic sectors that are expected to benefit from macroeconomic shifts and outstanding economic growth.”

On the Hà Nội Stock Exchange (HNX), the HNX-Index also rose by 1.08 per cent to 221.79 points. Total trading value on the bourse reached VNĐ2 trillion, with nearly 125 million shares exchanged. 

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