[Click eStock] "Seegene, Expected to Be Remembered as a Legend This Year... Target Price Up"

[Asia Economy Reporter Park Jihwan] Mirae Asset Daewoo maintained its investment opinion of 'Trading Buy' on Seegene on the 16th, stating that this year will be remembered as a legendary year in terms of performance, and raised the target price by 24.5% from the previous 74,000 KRW to 92,100 KRW.

Researcher Kim Choonghyun of Mirae Asset Daewoo said, "Seegene's first-quarter sales and operating profit are expected to significantly exceed market expectations at 80.2 billion KRW and 24.5 billion KRW, respectively," adding, "Considering the increase in COVID-19 confirmed cases, sales of 175 billion KRW and operating profit of 71.2 billion KRW are expected in the second quarter, making it possible to achieve record-breaking performance."

Researcher Kim explained, "Seegene possesses technological capabilities based on three core source technologies that enable simultaneous multiplex quantitative testing," and "As a result, the proportion of sales in Europe has steadily increased from 19.8% in 2011 to 57.3% last year."

He also mentioned, "With the cumulative number of clients exceeding 1,300, reagent ramp-up at client companies is in full swing," and "This leads to a reduction in maintenance burden and generates an operating leverage effect that increases operating profit margin."

Researcher Kim added, "As the COVID-19 pandemic prolongs, global demand for diagnostic kits is rising, and competition is fierce. PCR testing requires testing equipment and specialized personnel to operate it, so Seegene, which has many existing clients rather than attracting new ones, has an advantage." He also positively evaluated that the main markets are regions with high numbers of COVID-19 confirmed cases, such as Korea, Italy, France, Germany, and Spain.

This content was produced with the assistance of AI translation services.