[Infostock Daily= Reporter An Hoe Hyun] Hana Financial Investment said on the 13th that it should look at the company's fundamentals rather than expectations for Chong Kun Dang's COVID-19 treatment. It maintained its investment opinion of 'Buy' and raised its target stock price to 250,000 won.
The target stock price has been raised to reflect the operating value of Chong Kun Dang and the value of the double antibody anticancer drug 'CKD-702', which is undergoing clinical trials.
Based on separate financial statements for the fourth quarter of last year, Chong Kun Dang's sales and operating profit were estimated at 347.9 billion won and 27.5 billion won. This is an increase of 16.8% and 30.5%, respectively, compared to the same period last year.
"It may seem somewhat low compared to Chong Kun Dang's surprise performance every quarter of last year, but the sales growth rate of major items was still solid," the company said.
This year, Chong Kun Dang's operating profit is expected to decrease slightly compared to last year. "This year's operating profit is estimated to be 130 billion won, down slightly from a year earlier due to the high base of last year and increased marketing costs that will recover to the previous year's level," the company said. However, analysts say that the growth of new items that are growing at a rapid pace like Qsymia needs to be noted.
Reporter An Hoe Hyun email@example.com