[Click eStock] "LG Uplus, Recommended for Short-term or Ultra-long-term Investment"

Hana Securities evaluated on the 30th that if investors are considering short-term or ultra-long-term investments of over two years in LG Uplus, it is worth considering new purchases. The investment opinion was maintained at 'Neutral' with a target price of 13,000 KRW.

Kim Hong-sik, a researcher at Hana Securities, explained, "The reason for the neutral investment opinion is that, considering the expected annual cost increase of up to 80 billion KRW due to the amortization of the operational IT system, operating profit is expected to continue to decline this year as it did last year. Also, given the recent regulatory environment and profit momentum, multiples are likely to remain low for the time being."

Researcher Kim added, "There is a high possibility that the current stock price is at the bottom, and in the short term, the stock price is likely to rise due to share buybacks and cancellations, and in the ultra-long term, due to expectations of a 5G rate plan restructuring. From an investment strategy perspective in June, existing shareholders are recommended to hold, and investors considering short-term investments of two months or ultra-long-term investments of over two years may consider new purchases as well." He further noted, "With an expected annual dividend yield of up to 7%, if the possibility of a stock price decline is low, ultra-long-term investors can expect both dividends and capital gains."

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