[Alpha Biz= Reporter Kim Sangjin] Hana Securities Maintains 'Buy' Rating for SeAH Steel, Keeps Target Price at 220,000 KRW
Hana Securities assessed, 'Despite somewhat sluggish operating performance, we believe this year represents the bottom in the long term, indicating an undervaluation phase.' The firm maintained its 'Buy' rating and target price of 220,000 KRW for SeAH Steel.
In a report on the 18th, Hana Securities stated, 'While the domestic steel pipe market's slump continues, a slight recovery in domestic housing starts and sales is expected next year, which will gradually improve the steel pipe market from its current bottom.'
Hana Securities added, 'Regarding exports, if former President Trump wins the U.S. presidential election in November, the potential for increased demand for energy pipes due to expanded fossil fuel development in the U.S. cannot be ruled out.'
Hana Securities projected that SeAH Steel's Q2 sales would decrease by 10.5% year-on-year to 456.4 billion KRW, with operating profit dropping by 58.7% to 28.1 billion KRW, falling short of market consensus.
AlphaBIZ Kim SangJin(letyou@alphabiz.co.kr)
