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(Photo = Yonhap news) |
[Alpha Biz=(Chicago) Reporter Kim Jisun] Kyobo Securities raised its target stock price to 65,000 won from 61,000 won, saying demand for Doosan Bobcat will remain solid in North America. The investment opinion remained 'buy'.
"Doosan Bobcat's sales in the first quarter of this year rose 0.9% year-on-year to 2.427 trillion won," Kyobo Securities said on the 2nd. "It expects operating profit to reach 302.8 billion won. This is 7.6% higher than the market estimate of 281.4 billion won."
"Despite the increase in promotion costs, demand for Core products is believed to be strong in North America, which is known as the most lucrative region," said Kyobo Securities Co. "In particular, the U.S. economy is stronger than expected, and sales will grow 0.9% year-on-year despite last year's high base."
"Although demand in North America is solid, the Promotion Subsidy Discount (PSD) will now rise slightly compared to the fourth quarter of last year due to increased promotion spending by sluggish regions EMEA and ALAO," Kyobo Securities said. "However, the sluggish region is also unlikely to see a sharp increase in costs at the current level as it is expected to rebound next year."
AlphaBIZ Kim Jisun(stockmk2020@alphabiz.co.kr)
