Rising consumption and travel fuel ‘Tet season’ stocks

Rising consumption and travel fuel ‘Tet season’ stocks

Investors are turning to ‘Tet season’ stocks, betting on stronger consumption, rising travel and solid earnings momentum early in the year.

Stock groups that benefit from stronger consumer spending and rising travel demand during the Lunar New Year (Tet) holiday – such as retail, food production and aviation – are attracting the attention of short-term investors, driven by expectations of positive returns.

The domestic stock market is widely expected to remain on an upward trajectory this year, supported by four key factors. First, the government’s economic growth target of 10 per cent and beyond is seen as a major catalyst for the market.

Second, in terms of valuation, the VN-Index is currently trading at a price-to-earnings (P/E) ratio of around 15 times; excluding stocks of member units under Vietnam’s leading conglomerate Vingroup, the future P/E is estimated at 14 times, lower than during 2017-2018 and 2020-2021.

Third, the market is anticipating an official upgrade to emerging market status. In addition, supportive policy measures across multiple sectors continue to provide momentum.

Following capital flows, investors are selectively accumulating stocks with solid growth prospects that stand to benefit from a vibrant Tet season, while also targeting attractive post-holiday profit potential.

Three standout sectors that have garnered strong investor confidence are retail and consumer goods, food manufacturing, and aviation.

Gains have been particularly evident in the retail and consumer sector, which is also among groups recommended by VPBank Securities in its February 2026 investment strategy.

Retail and consumer stocks benefit directly from the surge in consumer demand during the Lunar New Year

As the peak season of the year, companies with extensive distribution networks enjoy a significant advantage in revenue and profit growth during this period.

Food major Masan Group reported after-tax profit of nearly $270.6 million in 2025, up 1.6 times on-year. Revenue reached $3.26 billion, an increase of 8.7 per cent. For 2026, Masan targets revenue growth of 15-20 per cent.

FPT Digital Retail JSC, an associate of tech giant FPT Corporation, consolidated revenue in 2025 rose 27 per cent to $2.04 billion, exceeding the annual plan by 6 per cent. The company’s pre-tax profit surged 131 per cent to $48.8 million, surpassing the plan by 35 per cent.

Meanwhile, Digiworld Corporation posted record revenue last year of $1.07 billion, up 21 per cent, while after-tax profit reached $21.9 million, a 24 per cent increase.

2025 also marked a bumper year for Mobile World Investment Corporation, which recorded its highest-ever revenue of $6.26 billion, up 16 per cent on-year.

Growth driven by operational efficiency, combined with the strong consumption tailwind during Lunar New Year, is creating attractive investment opportunities in retail stocks.

The food manufacturing sector is also showing positive prospects, as demand for livestock and poultry products typically rises sharply during the Lunar New Year holiday.

Pork prices across Vietnam’s three regions have trended upward since late 2025, contributing to improved business performance and outlook for related stocks. A notable example is Dabaco Vietnam Group Corporation, which reported its highest-ever after-tax profit approximating $60.3 million in 2025, up 96 per cent on-year.

For the aviation sector, surging passenger travel and air cargo demand during the Lunar New Year is the primary driver helping aviation stocks ‘take off’. Stocks favoured by investors include VJC, HVN and ACV.

Nguyen Duc Quan Tung, CEO of Hanoi-based OCBS Securities JSC, said that the stock market had many positive anchors, but going forward would be characterised by strong differentiation and higher standards.

“The economy is standing at the threshold of a new growth cycle, with key drivers such as public investment, the recovery of the manufacturing and export sectors, and the increasingly prominent role of the private sector. At the same time, we are witnessing a clear shift from a growth model overly dependent on bank credit towards one that is more strongly financed by the capital market,” he said.

Quan views the stock market in the next phase as the ‘heart’ of the capital allocation system, accurately reflecting the health and ambitions of the economy.

Financial institutions that are well-prepared in terms of structure, governance and technology will enjoy long-term advantages, while growth models overly reliant on cyclical factors or short-term leverage will increasingly face adjustment pressure.

VIR