Hyundai Motor Securities maintained its investment opinion 'buy' and target stock price of 160,000 won on Kakao on the 27th.
Analysts say that stock prices have fallen excessively due to concerns over regulations on Internet platforms by financial authorities, but this is an opportunity to buy low-priced products.
Hyundai Motor Securities expects Kakao's third-quarter sales to reach 1.4494 trillion won and operating profit to reach 226.1 billion won, up 31.7 percent and 88.1 percent, respectively, from a year earlier.
"The operating profit ratio will also be 15.6 percent, up 4.7 percentage points from a year earlier," Hyundai Motor Securities said.
It is expected that Kakao's overseas expansion will begin in earnest this year. "The effect of the drop in sales on Kakao Mobility was around 5%, and it was not enough to erode market concerns due to the unpublished announcement of whether to withdraw from key small business sectors,"
Hyundai Motor Securities said. "However, we understand that we are considering additional withdrawal or specific win-win measures for taxis and other small businesses.".
Reporter Lee Dong-hoon usinvestmentidea2020@gmail.com
