The Bank of Korea said in its report on Nov. 3 that South Korea’s exports to China revolve around intermediate goods and semiconductor products and thus the adverse impact of a slowdown of the Chinese economy on the exports will be rather limited.According to the report, China’s real GDP growth rate
Korean automakers posted sluggish sales performances in October due to a prolonged semiconductor shortage.Hyundai Motor Co. announced on Nov. 1 that its global sales fell 20.7 percent year-on-year to 307,039 units in October. The carmaker sold 57,813 units in the domestic market, down 12 percent fro
The author is an analyst of KB Securities. He can be reached at seongjin.kang@kbfg.com. -- Ed. OP disappointing in 3Q21 but to improve— 3Q21 OP missed the market consensus, but market conditions should remain conducive to additional ASP hikes in 4Q21, mainly backed by RE tire demand. Going forward,
Short selling on Celltrion, which has the largest short balance among KOSPI stocks, is on the rise again. This means that more and more investors expect that the pharmaceutical company’s stock price will fall further, although it has already halved compared to its highest point.Celltrion's short
The author is an analyst of NH Investment & Securities. He can be reached at junsup@nhqv.com. -- Ed. Hyundai M&F has fared ill in the stock market owing to weaker profits than peers. But, its gap with peers in terms of profitability and share price should narrow rapidly upon the introduction of IFRS
The author is an analyst of NH Investment & Securities. He can be reached at junsup@nhqv.com. -- Ed. The introduction of IFRS17 is just a year away. In 2022, earnings at both non-life and life insurance players will likely fall y-y. But, we believe that the post-IFRS17 landscape is a more important
The author is an analyst of NH Investment & Securities. He can be reached at soohong.cho@nhqv.com. -- Ed. Top-line growth at Hyundai Mobis’s electrification business should begin in earnest from 4Q21, with margins thereafter to improve gradually in the process of securing economies of scale. We expe
The author is an analyst of NH Investment & Securities. She can be reached at mj27@nhqv.com. -- Ed. AmorePacific’s 3Q21 OP fell 10% y-y, missing consensus. However, the continued strong growth of both the firm’s online channels and Sulwhasoo in China remains positive.Expect gradual rebound in profit
The 5th UNESCO International Conference on Learning Cities (ICLC) as the biggest lifelong learning festival in the world took place from Oct. 27 to 30. On the closing day, a joint declaration was adopted so that learning system enhancement and education network expansion can lead to a decrease in th
The United States and the European Union ended their steel and aluminum trade disputes in 42 months. The United States opted to do so in order to strengthen its alliance with Europe with its trade disputes with China showing no signs of subsiding and because the prices of steel products in the Unite
The Korea Exchange announced that the average daily trading value at KOSPI was 11.7538 trillion won in October this year, the lowest since October last year. For reference, the value amounted to 26.4778 trillion won in January this year.The turnover ratio decreased a lot, too. Specifically, the mont
The author is an analyst of NH Investment & Securities. He can be reached at soohong.cho@nhqv.com. -- Ed. Considering HMC’s global wholesale sales guidance, a production volume recovery should become highly visible from 4Q21. Amid earnings growth momentum, both strengthening brand status in advanced
SK Innovation announced on Oct. 28 a partnership with Solid Power, an industry-leading developer of all-solid-state battery cells, to develop all-solid-state batteries under a memorandum of understanding (“MoU”) and joint development agreement (“JDA”). SK Innovation also commits to make a US$30 mill
Incheon is becoming a global city that drives the growth of South Korea. The following is an interview with Park Nam-chun, the city's seventh popularly elected mayor who took office in July 2018. -- Ed.The Ministry of SMEs and Startups picked Songdo, Incheon as the sole final candidate for the K
The authors are analysts of Shinhan Investment Corp. They can be reached at ym.ko@shinhan.com and hyungwou@shinhan.com, respectively. -- Ed. 3Q21review: Earnings sluggish but continuing on a YoY uptrendRFHIC posted operating loss of KRW100mn (continued loss YoY) on sales of KRW19.1bn (+96% YoY) for
The Korea Exchange announced on Oct. 26 that the market capitalization of the 10 biggest South Korean stocks dropped from 1,028 trillion won at the end of June to 912 trillion won on Oct. 25 and the ratio of their market capitalization to the aggregate value of the South Korean stock market fell fro
New shipbuilding orders are forecast to decrease next year. This is because container shipping companies which aggressively placed shipbuilding orders due to high shipping rates are more likely to decrease their orders.Investment in container ships, which pushed up new shipbuilding orders in 2021, w
The author is an analyst of Shinhan Investment Corp. He can be reached at sanghoonpure.cho@shinhan.com. – Ed. Sales growth across all markets for 2 consecutive monthsFor September, Orion reported sales growth of 1.5% YoY in Korea, 11.1% YoY in China, 12.1% YoY in Vietnam, and 27.5% YoY in Russia. Do
The author is an analyst of NH Investment & Securities. He can be reached at ys.hwang@nhqv.com. -- Ed. We can confirm an earlier-than-expected bottom for the petrochemical industry. With petrochemical product supply being disrupted due to power shortages in China, demand is primed to recover amid th
The Barossa-Caldita gas field project of SK E&S is causing controversy. Millions of tons of carbon dioxide a year is likely to be emitted from the gas field in Australia in 2025 and later, SK E&S is planning to deal with it by carbon capture and storage (CCS), and the technique is being doubted by m