Samsung C&T is showing strong performance in early trading. The rise in share values of major affiliates, including Samsung Electronics and Samsung Life Insurance, has heightened expectations for a revaluation of the company's worth. Analysts believe that upgraded target prices in the securities market have also boosted investor sentiment.
According to the Korea Exchange, as of 9:16 a.m. on June 23, Samsung C&T shares were trading at 539,000 won, up 19,000 won (3.65%) from the previous trading day. The stock opened at 535,000 won and briefly surged to 552,000 won before giving back some of its gains.
The recent increase in stock prices of major affiliates has expanded the value of Samsung C&T's holdings. This has led to growing expectations for a revaluation of its net asset value (NAV).
The securities industry is echoing this sentiment. Heungkuk Securities raised its target price for Samsung C&T to 700,000 won while maintaining a 'buy' rating.
Park Jong-ryul, a researcher at Heungkuk Securities, stated, "Since April, the value of shares in affiliates like Samsung Electronics and Samsung Life Insurance has rapidly increased, accelerating the revaluation of Samsung C&T's stock. We expect this revaluation to continue, supported by solid performance momentum and expanded shareholder returns."
He also noted, "This year, with the bio sector leading, improvements across all business divisions, including construction, trading, fashion, leisure, and food, will further strengthen profit generation. The bio sector is expected to achieve solid results due to increased production capacity and sales following the operation of the fifth factory in April 2025."
Additionally, he predicted, "The construction sector will see growth in both scale and operating profit due to the completion of high-tech P4 and the commencement of P5 structural work, while the fashion and leisure sectors are likely to shift to a profit growth trend due to positive asset effects and improved consumer sentiment."
* This article has been translated by AI.
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