Vietnamese electric vehicle manufacturer Vinfast continues to make strides toward becoming a major player globally. This week brought several notable developments:
– Vinfast received a bullish initiation of coverage from analyst Dan Ives of Wedbush. Ives gave Vinfast (VFS) an Outperform rating and set a $12 price target on the stock. In his note, Ives cited firsthand observation of Vinfast’s “impressive” operations in Vietnam as a reason for his optimism about the company’s electric vehicle prospects.
– Vinfast launched its VF 7 electric SUV in Vietnam at a price point of around $35,000. The VF 7 will compete in the midsize SUV segment. Its pricing pits it against models from more established brands like Tesla.
– Vinfast’s parent company VinGroup is a dominant corporation in Vietnam. However, Vinfast itself remains largely unknown to American consumers compared to EV brands like Tesla and Rivian. Increased awareness and distribution will be key for Vinfast as it works to gain market share globally.
The developments show Vinfast’s ambition and progress, even as it faces an uphill climb versus Tesla and BYD in key markets like the China and United States.