The trading volume of Vinamilk's stocks on the Ho Chi Minh Stock Exchange (HoSE) increased, with liquidity improving significantly since the beginning of the year, especially after successfully testing the double pattern.
A jump in transactions also helped the liquidity of Vinamilk set a new record.
Strong cash flows have helped VNM to hit a two-month high, rebounding from the lowest in a year. However, the main momentum of the recovery came from domestic investors, while foreign ones accelerated net selling activities.
Foreign investors net sold nearly 63.6 million USD worth of VNM shares since the beginning of June. The figure doubled that of the previous months and was the lowest value in 18 months. And if the trend continues, VNM will log the fifth consecutive month of net selling.
Since the beginning of the year, the company's shares recorded a net sold value of more than 2.5 trillion VND. Counting the order matching alone, the shares were sold the most on the whole stock market.
Net selling pressure may affect VNM's recovery as foreign investors are still holding about 60 per cent of the dairy producer's shares.
SSI Research said that the company should conduct a review of main product lines to improve quality as well as packaging, research and develop new products, and cooperate with international nutrition companies to develop infant formula products in order to protect market share.
