[Click eStock] Samsung C&T, Operating Profit Expected to Increase 30% This Year... Target Price Down

[Asia Economy Reporter Hwang Yoon-joo] BNK Investment & Securities expects Samsung C&T's operating profit to increase by more than 30% this year, but reflecting a decline in asset value, it maintained a 'Buy' investment rating while lowering the target price by 11.1% to 160,000 KRW.

Researcher Lee Seon-il of BNK Investment & Securities stated, "Thanks to the level-up of the non-construction sector and the recovery of the construction sector, operating profit in 2022 is expected to increase by 30.6% compared to the previous year."

Lee explained, "The biggest achievement in 2021 was the level-up of the non-construction sector. The trading division improved profitability by reorganizing low-margin clients and product lines and strengthening trading capabilities, and the fashion division succeeded in a turnaround by significantly enhancing its online business."

The leisure sector, which suffered the most damage from COVID-19, is now entering a normalization phase.

Lee analyzed, "Bio, whose production capacity doubled with the operation of the third plant, will continue high growth, and the construction sector laid the foundation for a leap forward by achieving new orders worth 13 trillion KRW, exceeding the annual target by 22%."

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