[Click eStock] "Shinsegae, the Safest and Most Comfortable Investment Alternative Among Domestic Stocks"

Daishin Securities evaluated Shinsegae on the 9th as the safest and most comfortable investment alternative among domestic stocks. They maintained a 'Buy' rating and a target price of 260,000 KRW.

Shinsegae recorded sales of 2.8187 trillion KRW and an operating profit of 163 billion KRW in the first quarter of this year. These figures represent increases of 5% and 7%, respectively, compared to the same period last year.

Yoo Jeong-hyun, a researcher at Daishin Securities, analyzed, "All business divisions, including department stores, Shinsegae DF, Shinsegae Inter, and Central City, showed solid performance. Subsidiaries that previously recorded losses, such as Shinsegae Casa and live shopping, turned profitable, significantly contributing to profit improvement."

He continued, "Amid the deepening polarization of the consumption environment in the first quarter, the strong performance of department stores and the stable profit structure of Central City stand out. The department store-centered business model can continuously generate an annual operating profit of 700 billion KRW, unlike large mart businesses experiencing structural demand decline or convenience stores whose growth has begun to slow among distribution companies." He added, "Unlike other distribution companies, the very clear profit stability is a strong point."

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