[Click eStock] Hyundai Construction, Quarterly Performance Improvement Driven by Overseas Sales Growth

[Asia Economy Reporter Lee Seon-ae] Cape Investment & Securities announced on the 26th that it maintains a buy rating and a target price of 58,000 KRW for Hyundai Construction. Recently, Hyundai Construction's stock price has risen by about 15%. This is interpreted as reflecting expectations of increased private-led supply following the Seoul mayoral by-election.

Kim Mi-song, a researcher at Cape Investment & Securities, stated, "In the future, Hyundai Construction's stock price is expected to reflect sales from overseas sites becoming fully realized and new housing order expectations in major Seoul areas driven by the DH brand power domestically," adding, "The engineering company's initial public offering (IPO) is also considered positive in terms of reducing uncertainty."

The IPO is currently in the condition review stage, and progress will be communicated after the selection of the lead underwriter. Hyundai Construction holds a 38.6% stake as the largest shareholder of the engineering company.

Meanwhile, as overseas sales delayed due to the impact of COVID-19 begin to materialize, quarterly operating profit is expected to improve. In the first quarter, 8,241 housing units were sold. Construction supply reached 6,941 units.

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