Hansung Corporation has reached its upper limit in stock price, buoyed by its 'patriotic company' image. Following an increase in consumer purchases, investor buying interest has also surged, leading to a continuous rise in stock prices.
According to the Korea Exchange, as of 1:57 PM on July 9, Hansung Corporation's stock was trading at 6,510 won, up 1,500 won (29.94%) from the previous trading day.
Recently, it has come to light on online communities and social media that Hansung Corporation has sponsored a concert for UN veterans for 25 years, sparking a so-called 'money support' movement. This has created a trend of supporting the company through product purchases, which has translated into increased interest in stock buying.
Founded in 1963, Hansung Corporation specializes in seafood processing and has built its reputation in the domestic market with its flagship product, 'Crab Meat.' However, while the company recorded sales of approximately 320 billion won last year, its operating profit fell below 6 billion won, indicating a decline in profitability, and its stock price once dipped below 4,000 won.
Additionally, the Financial Services Commission has proposed tightening the market capitalization requirement for maintaining a KOSPI listing to below 30 billion won, which raised concerns about Hansung Corporation's potential delisting as its market capitalization had decreased to around 26.1 billion won. However, the stock has risen for four consecutive days, helping to recover its market capitalization to the 40 billion won range.
Hansung Corporation expressed gratitude to consumers for their interest through its official website. The company also clarified that while some products are marketed as using only domestic ingredients, some do contain imported materials.
Market analysts view this case as an example of how corporate social responsibility and company image can influence not just consumer behavior but also investor sentiment. The phenomenon of 'value consumption,' where consumers who resonate with a company's social value transition from purchasing products to investing in stocks, is becoming evident in the stock market.
* This article has been translated by AI.
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