ST Pharm, which recently posted strong earnings, fell early on profit-taking but later rebounded.
According to the Korea Exchange, ST Pharm was trading at 168,400 won as of 1:16 p.m. on the 28th, up 0.54% from the previous session. The stock had slid as much as 3.34% intraday to 161,900 won before recovering.
In a filing the previous day, the company said preliminary first-quarter consolidated revenue rose 27.7% from a year earlier to 67.0 billion won, while operating profit surged 1,024.6% to 11.5 billion won.
Revenue came in slightly below market expectations, but operating profit beat forecasts by more than 30%, prompting brokerages to maintain or raise target prices.
Kim Seon-a, an analyst at Hana Securities, said, “In the first half of this year, we will confirm second-quarter earnings growth, and in the second half there will be many events as well as earnings growth through the fourth quarter.” She maintained her target price of 210,000 won and reiterated a “buy” rating.
Lee Ji-su, an analyst at Daol Investment & Securities, cited multiple second-half research and development catalysts, including “an imminent PDUFA approval for olezarsen (severe hypertriglyceridemia), phase 3 for pelacarsen, and topline results for STP0404 (AIDS).” She said she was raising her fair value estimate to 210,000 won to reflect “mid- to long-term profitability leverage from CMO growth and improved yields.”
Ha Hyeon-su, an analyst at Yuanta Securities, also raised his target price to 200,000 won, saying the company appears to be entering a stable growth phase as the share of commercialized project CDMO in total revenue increases.
* This article has been translated by AI.
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