Expectations for vaccines and treatments surged
Falls as the amount of profit-taking is poured
“A lot more liquidity pharmaceutical stocks could be raised”
Photo = Getty Image Bank
Pharmaceutical stocks, which had risen due to the development of vaccines and treatments for the novel coronavirus infection (Corona 19), fell all at once. It is an analysis that it has entered a phase of adjustment as the desire to realize profits has increased.
According to the financial investment industry on the 24th, the pharmaceutical industry fell 2.81% in the securities market the previous day. Daewoong Pharmaceutical, which has risen significantly this month(155,000 -7.19%) Myung Problem Medicine(7,780 -2.38%) Chong Kun Dang Bio(77,900 -5.00%) This is because the back plummeted 15 to 29%.
Daewoong Pharmaceutical’s anticipation for a cure for Corona 19 increased more than 166% until the 21st this month alone, but dropped by 40% over the next two days. As of 10 am on the day, Daewoong Pharmaceutical is trading at 151,000 won, a sharp drop of 16,000 won (9.58%) compared to the previous trading day.
Myung Problem Pharm and Chong Kun Dang Bio are showing similar trends. It rose 44% and 57%, respectively, until the 21st this month, but fell 15-18% in two days until the previous day.
Experts analyze that the background of the plunge again after the surge in pharmaceutical stocks this month is the abundant liquidity of the market, the year-end profit taking, and the opening of sales for tax savings.
Ha Tae-gi, a researcher at Sangin Securities, said, “The reason for the recent surge in pharmaceutical stocks can be found in the supply and demand.” I will.”
It is explained that amid a sharp rise in competitive domestic stocks, private buying was concentrated on pharmaceutical stocks that are evaluated as future growth stocks.
Photo = Yonhap News
However, pharmaceutical stocks are weak as sales to realize profits are pouring out ahead of the year-end. With the addition of the sale of so-called’super ants’ who are trying to avoid the designation of large shareholders subject to stock transfer tax, the decline has increased.
Won Jae-hee, a researcher at Shinhan Financial Investment, said, “In the case of Daewoong Pharmaceutical, the risk related to Botox disputes has been resolved, and expectations for the treatment for Corona 19 have surged this month. It fell sharply,” he explained.
In the short term, pharmaceutical stocks continue to weaken, but pharmaceutical stocks are expected to remain strong in the future. This is because after the year-end desire to realize profits has been resolved, the individual’s buying tax may flow back.
The overall evaluation is that market liquidity, which has been enriched by low interest rates, and stock market capital that has increased due to real estate regulations, can boost pharmaceutical stocks.
Researcher Ha Tae-gi said, “It is highly likely that mid- to large-sized pharmaceutical stocks will show strength for the time being,” he said. “If the opening of sales for profit-taking and tax savings at the end of the year is completed, it may rise further.”
It is true that the level of development of new drugs by domestic pharmaceutical companies has improved, but the gap between the surge in pharmaceutical stocks and corporate value is still a concern. It is said that there is a possibility of a sharp decline at any time because the value of the company was evaluated too high compared to its performance.
Yoon Jin-woo, reporter at Hankyung.com [email protected]