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Shinsegae International Cheongdam office. (Photo = Shinsegae International) |
[Alpha Biz= Reporter Kim Jisun] SK Securities maintained its investment opinion 'buy' and target stock price of 22,000 won for Shinsegae International. Due to the lower base of performance, the downside is limited, but there is no momentum for clear performance growth yet.
SK Securities said, "In the first quarter of this year, Shinsegae International's sales are estimated to be 312 billion won (-0.1% year-on-year) and operating profit of 11.5 billion won (+11.6%), below market expectations."
By sector, it said, "Although sales of overseas fashion were estimated at 80.9 billion won (-5%), and although overall sales declined due to the closure of some brands, it would have grown year-on-year due to solid sales growth of Brunello Cucelli and Ugg," adding, "Korea's fashion is estimated at 74 billion won (-5.4%) due to its high base performance in the first quarter of last year due to the lifting of indoor masks and continued sluggish consumption of clothing."
"Revenue Cosmetics estimates sales at 76.4 billion won (+6.7%). Amid the continued sales growth of popular perfume brands such as Deepthik and Viredo, the high growth of new brands such as Laura Mercier and Davines may have supported earnings growth," SK Securities said. "Manufacturing Cosmetics has seen reverse growth with an estimated sales of 19.7 billion won (-2.7%)."
AlphaBIZ Kim Jisun(stockmk2020@alphabiz.co.kr)
