[Alpha Biz= Reporter Kim Minyoung] On the 5th, SK Securities maintained its "Buy" rating and target price of 9,400 KRW for DGB Financial Group, despite the company's stock performance being negatively impacted by the burden of project financing (PF) and limited shareholder return policies.
SK Securities noted that DGB Financial Group's Q2 earnings for this year were weak, primarily due to a PF-related bad debt expense of 150.9 billion KRW. They also highlighted the possibility of additional provisions if current projects, classified as normal, fail to refinance. However, considering the overall exposure and past loss rates, they expect the potential maximum loss in the second half of the year to be smaller than that in Q2.
Additionally, the company plans to announce value enhancement-related disclosures after a board meeting in August.
Alphabiz Kim Minyoung (kimmy@alphabiz.co.kr)
