In the news that LG Electronics is considering a plan to sell its mobile (MC) division, some securities companies raised their target price to 200,000 won.
According to the financial investment industry on the 21st, Samsung Securities (220,000 won), Korea Investment & Securities (220,000 won), Hi Investment & Securities (230,000 won), and Eugene Investment & Securities (220,000 won) raised LG Electronics’ target price to 200,000 won.
Lee Jong-wook, a researcher at Samsung Securities, raised the target price from 170,000 won to 220,000 won. “The stock has skyrocketed, but the company is changing even more rapidly.” “In addition to concentrating the company’s resources on electric vehicle parts, the withdrawal of the mobile business will be another stock price trigger. I will.”
The researcher evaluated it as “a positive event in light of the fact that it could not escape from the chronic deficit structure such as operating losses for 23 consecutive quarters.”
Cho Cheol-hee, a researcher at Korea Investment & Securities, said, “The previous day, President Kwon Bong-seok opened up all possibilities for the mobile division and reviewed the direction of business operation, and this is considered to mean withdrawal, sale, or reduction.”
“The mobile division’s 2020 sales are estimated at 5.2 trillion won, which is 8.3% of the company’s total (consolidated basis), but the size of the operating deficit is estimated to be 837 billion won, so the impact on the overall operating profit (3.2 trillion won) “It’s big,” he said, raising the target price from KRW 180,000 to KRW 220,000.
Gyeong-Tak Noh, a researcher at Eugene Investment & Securities said, “The valuation (evaluation value) discount due to the mid- to long-term deficit structure of the smartphone business has been resolved. We recalculated our target price based on the value,” and raised the target price from 170,000 won to 220,000 won.
/yunhap news
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