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(Photo=Hyundai Glovis) |
[Alpha Biz= Reporter Kim Sangjin] Daishin Securities analyzed on July 1st that Hyundai Glovis is expected to enter a substantial earnings improvement phase from next year. They maintain a 'buy' rating and have raised the target price from 280,000 Korean won to 310,000 Korean won.
Daishin Securities stated, "We have raised our estimated operating profit for next year from 1.7 trillion Korean won to 2 trillion Korean won. We conservatively reflected contract renewals in the finished vehicle transportation segment at the end of this year and applied a target Price-to-Earnings Ratio (PER) of 7.6 times to a 12-month earnings per share (EPS) of 41,022 Korean won, thus increasing our target price."
They added, "Despite recent price increases, Hyundai Glovis maintains a low valuation level and secures growth visibility. We recommend actively responding to and maintaining the transportation sector as a top pick in the second half of this year, as there is sufficient room for further upside."
Daishin Securities further explained, "Investment opportunities can be found in entering a substantial earnings improvement phase next year, expanding dividends to enhance shareholder value, conducting a 100% bonus share issue, and providing specific blueprints for medium to long-term growth strategies."
AlphaBIZ Kim SangJin(letyou@alphabiz.co.kr)
