This article is translated by AI company Flitto and Infostock Daily using neural machine translation technology.
Kakao CI
[Infostock Daily= Reporter An Hoe Hyun] Samsung Securities offered its investment opinion 'Buy' and target stock price of 440,000 won to Kakao on the 7th, saying that the stock price will continue to rise considering the high sales growth of untact new business and the schedule for corporate disclosure of major subsidiaries.
"Sales in the third quarter are expected to rise 34.4% year-on-year to 1.0527 trillion won, which is expected to maintain rapid growth despite the spread of new coronavirus infections(Covid-19). As sales of the untact new business increase, operating profit in the third quarter is expected to meet market expectations by recording 115.7 billion won, up 95.7%," the company analyzed.
"Among Kakao's sales, only 11% of portal biz are sensitive to the economy, and the rest of the division's sales grow structurally regardless of the economy or come from untact-related businesses that promote growth with Covid-19," the company said, adding, "This year, Kakao expects operating profit to increase by 114% due to the growth of new businesses such as mobile advertising and e-commerce."
Kakao plans to list Bank, Page, Commerce and Japan even after the listing of Kakao Games. "Considering the structural growth of new businesses and the liquidity of the public offering market, it is highly likely that the subsidiary's public offering will success, which will lead to an increase in Kakao's corporate value," the company explained.
Reporter An Hoe Hyun ahh@infostock.co.kr