[Click eStock] "Samsung Securities, Net Profit Growth Expected in 2025... Target Price Up"

On the 16th, Korea Investment & Securities raised the target price for Samsung Securities by 11% from 53,000 KRW to 59,000 KRW, anticipating a solid performance in the fourth quarter and an increase in net profit in 2025. The investment rating was maintained at 'Buy.'

Researchers Baek Doosan and Hong Yeran explained, "The potential for contingent losses in existing exposures such as real estate finance is limited, while differentiated retail capabilities and favorable operating profit and loss may stand out."

They added, "We have raised the 2025 net profit forecast by 8%, and the strength in shareholder returns is expected to lead to re-rating. Despite a price-to-book ratio (PBR) of about 0.5 times, which is low compared to a recurring return on equity (ROE) of around 12%, the high dividend payout ratio results in a dividend yield in the 8% range, making it an attractive level compared to other financial stocks."

The fourth-quarter earnings this year are also expected to be strong. Korea Investment & Securities forecasted a controlling net profit of 179.4 billion KRW for the fourth quarter, exceeding consensus by 15%. This represents a 34% upward revision compared to previous estimates.

The two researchers noted, "This reflects better operating profit and loss compared to previous estimates," and added, "By segment, operating profit and financial income are expected to be 226.7 billion KRW, down 21% from the previous quarter but improved by 286.7 billion KRW compared to the same period last year."

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