[Infostock Daily= Reporter An Hoe Hyun] Daishin Securities said on March 26 that Hanwha Aerospace is undervalued due to its growth potential as COVID-19, maintaining a 'BUY' rating and a target stock price of 33,000 won.
Daishin Securities said, "The growth potential of each business division of Hanwha Aerospace has been overshadowed by COVID-19. Considering various growth potential and stable performance, the current share price is undervalued."
Daishin Securities said, "In the second quarter of this year, sales were 11% lower than market estimates, but operating profit was 42% higher. Defense industry exports led the earnings."
Hanwha Aerospace's 2Q sales fell 14.7% year-on-year to 1.192 trillion won and operating profit fell 10.9% to 70.2 billion won.
Daishin Securities paid attention to the growth potential of each business division of Hanwha Aerospace. "The airline engine division will be 20~30% lower this year with COVID-19, but it will bottom out in the second quarter and the military sector division will also improve in the second half," the company predicted.
Reporter An Hoe Hyun ahh@infostock.co.kr
