[Market Highlight] "Full-Fledged Earnings Recovery" Drives CJ Logistics Shares Up Over 5%

CJ Logistics' stock price is showing strength, driven by growth in its parcel delivery and contract logistics (CL) divisions, following strong third-quarter results this year.

As of 9:36 a.m. on November 10, CJ Logistics was trading at 87,700 won, up 4,300 won (5.16%) from the previous trading day.

In the third quarter, CJ Logistics posted sales of 3.0666 trillion won and operating profit of 147.9 billion won, up 3.1% and 4.4% year-on-year, respectively. Operating profit exceeded the market consensus by 7%.

On this day, Mirae Asset Securities stated, "While improvements in the parcel delivery and CL divisions are clear, the stock remains excessively undervalued at 0.4 times the price-to-book ratio (PBR) based on next year's expected earnings," maintaining a "Buy" rating and a target price of 120,000 won.

Choi Jiwoon, a researcher at Mirae Asset Securities, said, "With the expansion of services such as seven-day-a-week delivery, we expect a continued recovery in parcel volume and market share. Next year, we also anticipate a partial rebound in parcel unit prices, and together with cost efficiency improvements, we expect a full-fledged recovery in profitability for the parcel delivery division."

He added, "As earnings recovery becomes more pronounced in the future, a revaluation of the company's valuation should be possible."

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