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Photo = Yonhap news |
[Alpha Biz= Paul Lee] On Tuesday, Korea Investment & Securities raised its target price for Samyang Foods from KRW 920,000 to KRW 1.1 million, maintaining a 'Buy' rating. The firm cited Samyang Foods' strengthened profit capacity, capable of generating over KRW 100 billion in operating profit per quarter.
Korea Investment & Securities noted that Samyang Foods demonstrates the highest earnings growth visibility within the food and beverage sector, driven by its export-oriented production strategy, capacity expansion boosting overseas sales, and rising average selling price (ASP) from increasing exports to high-margin markets like the U.S. and Europe.
The firm further emphasized that amid uncertainties surrounding domestic processed food demand and the recovery of the dining-out sector, Samyang Foods stands out as the top pick in the industry due to its clear overseas growth momentum and sustained high profitability.
Notably, analyst Kang projected that Samyang Foods’ performance will accelerate further following the operation of its second plant in Miryang.
Alphabiz Reporter Paul Lee(hoondork1977@alphabiz.co.kr)
