April 20, 2024
Stocks & Bonds
[EQUITIES] ‘Lotte Shopping fares well despite slow market’
[THE INVESTOR] Lotte Shopping widely beat market expectations despite the sluggish industry, said KTB Investment and Securities on Feb. 10, raising the target price to 280,000 won (US$242.70) from 260,000 won and maintaining a “buy” recommendation.
Its strategic strengthening of fresh food for hypermarkets was effective and competition against social commerce is easing, said analyst Lee Nam-jun.
Its revenue from department stores slowed but its margins leaped from improved efficiency of sales management costs, added the analyst.
Growth across the divisions will be limited but margins could be improved through promotion, especially of its hypermarkets, noted Lee. The analyst also said that the retailer is likely to take shareholder-friendly stance to secure voting rights for transforming into a holding company system.
By Hwang You-mee (glamazon@heraldcorp.com)
Its strategic strengthening of fresh food for hypermarkets was effective and competition against social commerce is easing, said analyst Lee Nam-jun.
Its revenue from department stores slowed but its margins leaped from improved efficiency of sales management costs, added the analyst.
Growth across the divisions will be limited but margins could be improved through promotion, especially of its hypermarkets, noted Lee. The analyst also said that the retailer is likely to take shareholder-friendly stance to secure voting rights for transforming into a holding company system.
By Hwang You-mee (glamazon@heraldcorp.com)
