[Click eStock] "Hyundai Department Store, Duty-Free Shop Q3 Profit Expected... Target Price Up"

Ebest Investment & Securities raised the target price for Hyundai Department Store from 77,000 KRW to 97,000 KRW on the 29th.

Ebest Investment & Securities estimated that Hyundai Department Store will record an operating profit of 218.6 billion KRW in the second half of this year, a 36% increase compared to the same period last year. They expect performance improvements across all sectors, including department stores, duty-free shops, and Zinus.

In the department store sector, positive factors include the reopening effect of the Daejeon branch, renewal of major stores and new luxury brand entries, and the strength of the young fashion segment. In the first half of last year, cost increases were not covered by sales, resulting in a decline in profits in the department store sector, but this year, there are abundant factors for sales growth in the second half.

The duty-free shop sector is expected to continue its recovery trend that began in the second quarter into the second half. Key points include growth in downtown duty-free shops due to the influx of Chinese visitors, the opening of new airport store locations, and an improved profit structure. It is expected to achieve profitability from the third quarter.

Orin Ah, a researcher at Ebest Investment & Securities, said, "We are raising the target price in line with the company-wide earnings adjustment reflecting the improvement in duty-free shop performance," adding, "Operating profit is expected to slightly increase from the third quarter compared to last year."

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