[Featured Stock] Emart Rises Over 6%... Expectations for Profitability Improvement Up

by Kwon Jaehee

Published 06 Dec.2022 10:38(KST)

Customers are shopping at Emart Seongsu Store in Seongdong-gu, Seoul, on the 20th, as the 'SSG Sale' celebrating the SSG Landers' victory of Shinsegae Group continues. Photo by Jinhyung Kang aymsdream@

[Asia Economy Reporter Kwon Jae-hee] Emart is showing a strong gain of over 6% in the early trading session on the 6th. This comes as the securities industry has given positive evaluations of Emart's profitability improvement strategy.

As of 10:31 AM on the day, Emart is trading at 98,600 KRW, up 6.59% compared to the previous trading day. During the session, Emart even reached a high of 99,000 KRW, up 7.03%.

On the same day, Hana Securities issued a report giving Emart a 'Buy' rating with a target price of 120,000 KRW.

Seo Hyun-jung, a researcher at Hana Securities, analyzed, "Emart is thoroughly shifting to a profitability improvement strategy by consolidating branches and reducing third-party transaction products that do not generate margins," adding, "As profits improve, the stock price direction will become clearer."