[지난주 증권가 주요이슈]Jim Rogers warns Donghak ants “the Korean stock market is over”…’飛上’ vs’non-常’ Kospi and others

【Youth Daily】 Last week in the securities industry, KOSPI continued to dominate and ended at the 3150 level, and Mirae Asset Daewoo announced its New Year’s address that it will leap to the global top tier IB.

Hana Financial Investment raised the target price of Samsung Electronics to KRW 110,000, and the affiliation that LG Electronics’ growth axis is shifting to the electronics business drew attention.

In addition, various issues were raised, such as the Financial Services Commission said it would review the improvement of the screening suspension system by retouching old-fashioned practices, and global investor Jim Rogers sounding an alarm at Donghak ants saying that the Korean stock market is approaching the highest.

◆ KOSPI, 3.97% soaring 3150 lines… “Continue breaking down”

On the 8th, KOSPI continued to break down and jumped 120 points. On this day, KOSPI finished the market at 3152.18, up 120.50 points (3.97%) from the previous day. It settled at the 3000 line mark for the first time in history based on the closing price the day before, and in a single day, it led to a surge of well over 100 points.

The increase was the second ever since March 24 (127.51 points) last year. KOSPI opened at 3040.11, up 8.43 points (0.28%) from the previous day, followed by foreign buying, led by Samsung Electronics, and widening the increase. The index once jumped 129.43 points to 3161.11.

KOSPI soared 418.5 points (15.3%) for 10 trading days from the 23rd of last month to this day. 9 trading days higher except for the last 6 days. On this day, the KOSPI surge was led by foreigners. Foreigners net purchase 1,643.9 billion won from KOSPI. This net purchase is the highest since July 8, 2011 (1.7 trillion won), the third place ever.

◆ Mirae Asset Daewoo reveals New Year’s aspirations… “Leap to the global top tier IB”

Choi Hyun-man, senior vice chairman of Mirae Asset Daewoo, expressed his ambition to become a global top-tier IB beyond the top Korean securities company.

Vice Chairman Choi said on the 4th, “Even in the last year’s Corona 19 crisis, we achieved the highest performance in history with differentiated risk management, crisis response capabilities, and a balanced profit structure.” It has exceeded 330 trillion won, foreign stocks 15 trillion won, and pension assets 17 trillion won.”

He continued, “Recognizing corporate social responsibility from an early stage, leading the industry’s ESG management, and being recognized for our continuous efforts, we were selected for the’Dow Jones Sustainability World Index’ for 9 consecutive years, and the Korea Corporate Governance Service and Sustin Best ESG In the evaluation, we also obtained A grade and achieved 3 awards in ESG management performance.”

Vice-Chairman Choi declared the strategy of’G(Globalization)·R(Risk Management)·O(Opportunity)·W(Wealth Management)·T(Technology)·H(High Quality)’ through challenge and innovation for new growth. .

◆ Seongsu Eun “Continue improving the system to expand the investment base

Finance Commissioner Eun Seong-soo attended the ‘2021 Securities and Derivatives Market Opening Ceremony’ held in the lobby of the KRX Seoul office building from 9:40 am on the 4th to reveal the direction of capital market policy this year. Chairman Eun Seong-soo suggested four directions: ▲ responding to ongoing uncertainties ▲ expanding the base of investors ▲ restoring investor confidence ▲ establishing a virtuous cycle economy between real and financial.

Chairman Eun said, “According to the trend of the spread of the corona and the economic trend, additional support measures may be needed, and on the contrary, there may be a need to prepare for a gradual normalization. I will not let go.”

The Financial Services Commission plans to continue expanding the base of investment in order to continue the active inflow of individual stock markets such as the’Donghak Ant Movement’ last year.

Chairman Eun said, “In order for the capital market to continue this year’s positive momentum, we will respond to the expansion of market participation by individual investors.” “We will improve the system this year, such as reforming the financial investment tax system, rationalizing credit loan interest rates, and expanding participation in IPO. I will continue to do so,” he said.

He continued, “We will continue to increase the attractiveness of our capital market so that the rapidly increasing demand for overseas investment can be turned to Korea.” “Promoting the development of new products related to New Deal and ESG, He added, “We will come up with various policy support measures such as inducing early listing.”

Chairman Eun said that he would also focus on restoring investor confidence, which has fallen due to the private equity crisis such as Lime and Optimus.

◆ Na Jae-cheol “Korean stock market is expected to take off in earnest”

With the breakthrough of the 3000 mark during the KOSPI market during the new construction year, Jae-cheol Na, chairman of the Financial Investment Association, head of the capital market industry, assessed that the Korean stock market had an opportunity to level up. In particular, it is a difficult time due to the aftermath of the corona pendemic, but it is said that the Kospi’s breakthrough of the intraday 3000 line is significant in many ways.

On the 6th, Chairman Na said, “With the interest and participation of individual investors, the KOSPI surpassed 3000 (in the middle of the week).” “In the era of low interest rates, stock investment will still be an attractive investment vehicle.”

He added, “Although the Corona 19 crisis is still in progress, the breakthrough of the KOSPI 3000 will be an opportunity for the Korean capital market to level up.”

On the other hand, Kumtoo Association is a representative domestic capital market-related institution with a total of 452 companies including 321 regular members, 106 associate members, and 25 special members.

◆ IPO reheating completed… .Cacao, Krafton and Unicorn lineup

With the booming stock market last year, the IPO market broke various new records, and investment fever is expected to continue this year. Stock prices analyzed that companies with a corporate value approaching tens of trillions of won will enter the IPO this year and sufficiently attract market liquidity.

This year, LG Energy Solutions, a spin-off company of LG Chem, and Krafton, famous for’Battle Ground’, are preparing for an IPO. Kakao’s flagship affiliates, such as Kakao Bank, Kakao Pay, and Kakao Page, stand by. The corporate value of those in the financial investment industry is all in trillions, and Kakao Bank is estimated to be between 6 and 40 trillion won. According to the unlisted Securities Plus, an over-the-counter stock trading platform, the price per share of Kakao Bank is 78,500 won.

Affiliates of large corporations such as SK Bioscience, which is developing the Corona 19 vaccine, and Hanwha General Chemical, which are analyzed to have an impact on the restructuring of Hanwha Group’s governance structure, are promoting listing. Along with this, domestic unicorn companies such as Yanolja and Soka are preparing for listing this year, raising the interest of investors.

◆ “Beyond 100,000 electrons, 110,000 electrons”… Hana Geumtu raises target price for Samsung Electronics

Hana Financial Investment raised the target price by 29% from KRW 86,000 to KRW 111,000 to reflect Samsung Electronics’ reinforced electronics business and expectations for an increase in system semiconductor market share. This is the first time that a domestic securities company’s target price for Samsung Electronics exceeded KRW 110,000.

In a report on the 5th, Kyungmin Kim, Rokho Kim, and Hyunsoo Kim said, “Samsung Electronics’ target price of 111,000 won represents a target market capitalization of 660 trillion won for common stocks. (Minus item), net cash 200 trillion won (plus item)”

For Hana Financial Investment, we calculate a target price by applying a PER (P/E) valuation for each division. By division, Harman 30 times, system semiconductor 25 times, memory semiconductor 20 times, display 15 times, set (IM, CE) 10 times.

◆ LG Electronics’ growth axis change… “Priority in the electric equipment business”

LG Electronics’ growth axis is moving to electronic components. Strategic alliances with global auto parts makers are expected to create abundant growth opportunities.

On the 6th, NH Investment & Securities maintained its BUY rating on LG Electronics and raised its target price by 72.7% to KRW 190,000. The previous day’s closing price was 140,000 won. This is because expectations for the expansion of the EV parts business have increased through the establishment of a joint venture with the global auto parts maker Magna.

Ko Jeong-woo, a researcher at NH Investment & Securities, cited the use of Magna’s clients as the core of the cooperation between the two companies. “Even though the technological competitiveness of electric vehicle parts is high, it may be difficult to expand customers in the market if the market position is relatively weak or if you are a latecomer,” said Ko. “From this point of view, this alliance becomes an opportunity factor for diversifying customer composition.” Explanation.

◆ Hyundai Motor Group, strong… “Expectation for Apple Car Cooperation”

Hyundai Motor Group stocks were strong. Hyundai Motor, a KOSPI-listed company, traded at 251500 won, up 22.09% (45,500 won) from the previous market at 1:20 pm on the 8th.

In addition, Hyundai Motor Group led Hyundai Wia (26.27%), Hyundai Autoever (7.27%), Hyundai Glovis (3.76%), Innocene (4.57%), and Hyundai Rotem (3.46%). As the possibility of cooperation between Hyundai Motors and Apple Cars emerged, expectations for a share price rise appear to have increased. A media report revealed that Apple is partnering with Hyundai Motor Group to produce electric vehicles based on autonomous driving.

Hyundai Motor Company announced that it is receiving requests for cooperation in joint development related to autonomous electric vehicles from a number of companies through the public announcement on the day, but it has not been decided at an early stage. Hyundai Motors added that it will re-disclose the information within one month or when the related information is confirmed.

◆ “Review to improve the review suspension system”… The Financial Services Commission rectifies old-fashioned practices

Financial authorities have been rectifying the rigid practice of imposing fines on financial companies even for minor issues. It was decided to review the improvement of the screening suspension system applied when approval of new licenses and changes in major shareholders during litigation, investigation, and inspection. The Financial Services Commission announced on the 6th that it will pursue such a plan by holding a meeting with the financial sector in a non-face-to-face manner.

Vice Chairman Do Gyu-sang of the Financial Services Commission said in a remark, “I will look back on whether the government is following supplier-centered thinking and practices in the process of conducting financial administration this year.” We will comprehensively check and improve whether or not this is being done.”

In the meantime, a fine was imposed on the omission of disclosure of minor matters, such as reporting on management changes, but it is said that we will improve this practice, which followed the regulations established tens of years ago. The Financial Services Commission decided to consider ways to strengthen sanctions for serious illegal and unhealthy activities, but to drastically simplify sanctions on minor matters.

Vice-Chairman Do announced that he would review the improvement of manufacturing discontinued. The review suspension system refers to a system that can suspend the review process for approval and approval of changes to major shareholders when litigation, investigation, and inspection are in progress. It was pointed out that the criteria for judging suspension and resumption of examination were ambiguous, and that the matters were handled from time to time according to the regular inspection of the financial authorities.

◆ Jim Rogers “Korean stock is at its highest, the end is coming”… Donghak ant wakes up

Worldwide investor Jim Rogers is cautious about the bull market. On tvN’Monthly Connect’, which aired for the first time on the 7th, Jang Ye-won, Yoo Hyun-jun, Kim Ji-yoon, and Kim Dong-hwan met Jim Rogers through a video call.

In a video call, Jim Rogers said, “It’s obvious, as you can see from history, I feel that the end is coming,” and “I don’t sell or sell short. I’m not saying it’s over, it’s a signal. You have to know that the end is coming.”

Broadcaster Jang Ye-won asked, “Do you have any advice you would like to give to Donghak ants?”

Jim Rogers laughed, saying, “If I talk, I won’t listen.” He advised, “You need to be careful. The stock has risen a lot, has hit highs, and will soon stop. Don’t invest where you don’t know. Just invest what you know.” He added, “Even so, people will say’this time is different.'”

【Youth Daily = Reporter Kang Jeong-wook】