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(Photo = Yonhap news) |
[Alpha Biz= Reporter Kim Minyoung] Eugene Investment & Securities Co. said on the 5th that its first-quarter earnings will meet market expectations as its advertising and commerce performance is solid, contrary to market concerns. The investment opinion was 'buy' and the target price was 280,000 won. The closing price of the previous trading day is 194,300 won.
Eugene Investment & Securities expects Naver's sales to reach 2.5 trillion won in the first quarter of this year, up 9 percent from a year earlier, and operating profit to 380.9 billion won, up 15 percent to meet the consensus. In the case of search platforms, search advertising (SA) sales are expected to continue to grow flat despite the sluggish domestic advertising industry. In addition, display advertising (DA) sales are expected to rebound slightly from the previous quarter due to the reorganization of Naver apps in November.
The commerce sector is expected to continue to slow the growth rate of overall transaction amount (GMV) due to the intensifying domestic commerce competition environment, but sales are expected to exceed the growth rate of transaction amount in the fourth quarter of last year due to the monetization of brand solution packages and arrival guarantee services.
Researcher Chung predicted that fintech sales will continue to expand external payments, and the amount of external payments will exceed the internal rejection amount this year due to the expansion of financial brokerage businesses such as last year's mortgage loan comparison services. Also, the growth rate of the content sector is expected to decrease, but it is expected to focus more on strengthening profitability this year ahead of Naver webtoon listing.
Alphabiz Kim Minyoung (kimmy@alphabiz.co.kr)
