[Click eStock] "Interpark, Stock Still Undervalued Compared to Competitors"

[Asia Economy Reporter Ji-hwan Park] Hana Financial Investment evaluated Interpark on the 17th as a company that is still relatively and absolutely undervalued. Although the stock price has risen significantly, it remains in an undervalued range compared to competitors.

Lee Ki-hoon, a researcher at Hana Financial Investment, stated, "As COVID-19 vaccinations become visible, potential deferred demand is waiting, and the stock prices of Hanatour and Modetour are trading at 20 times and 18 times operating profit in 2022, respectively," adding, "Interpark is trading at 13 times even under conservative assumptions."

Although the stock price appears to have risen sharply in the short term, it is still in an excessively absolute and relative undervalued range within the same industry conditions. The book division, which was a discount factor in past valuations, is also viewed positively as efforts to structurally improve profitability are underway.

Last year's fourth quarter standalone operating loss was 800 million KRW, a decrease in the deficit compared to the previous quarter. Researcher Lee Ki-hoon said, "Operating profit in the entertainment division increased by 6.7 billion KRW compared to the previous quarter, reflecting sales from system maintenance and repairs related to the postponement of the Tokyo Olympics," adding, "If the Olympics are held normally, a similar level of profit is expected to be reflected this year as well."

He emphasized, "Due to COVID-19, performances by agencies have been continuously postponed, accumulating bad debt write-offs, but this is a structure that will be immediately reversed upon resumption," and added, "If concerts are possible, significant profit improvement is achievable."

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