[Click eStock] Samsung Securities, Notable Unique Dividend Appeal... Target Price Raised

[Asia Economy Reporter Lee Seon-ae] Yuanta Securities announced on the 7th that it has raised the target price for Samsung Securities from 52,000 KRW to 60,000 KRW, considering its dividend attractiveness. The investment opinion is 'Buy,' and it was presented as the second preferred stock in the securities industry.

The investment point is that it is one of the stocks expected to have the highest dividend yield among the company's entire financial coverage and that the dividend payout ratio has been continuously trending upward.

This year, Samsung Securities' dividend yield is expected to reach an outstanding 7.5%, higher than other companies, and even if profits decline next year due to sluggish market conditions, it is expected to maintain a differentiated dividend yield through the continuous increase in the dividend payout ratio. Additionally, the goal of reaching a 50% dividend payout ratio in the long term is also a factor that enhances its investment appeal. This means that even if the market conditions remain sluggish in the future, it can still provide a differentiated dividend yield compared to other companies.

Jeong Tae-jun, a researcher at Yuanta Securities, stated, "Samsung Securities has pursued stable ELS hedging, so it is difficult to generate significant trading profits, but even if another sharp market decline occurs like in March 2020, it is positive that the company can deliver relatively stable performance."

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