April 26, 2024
Stocks & Bonds
Korea's big 30 market cap up 18.7%, driven by Samsung
[THE INVESTOR] The market capitalization of Korea’s top 30 conglomerates surged nearly 20 percent from a year ago, driven by Samsung Electronics’ share value rally, according to market data compiled by a local corporate tracker on April 23.
According to a survey by CEOScore, the combined market value of the 176 listed firms owned by the country’s 30 largest business groups reached 969.9 trillion won ($853.8 billion) as of Friday, up 18.7 percent from 817.3 trillion won tallied on Jan. 1 last year.
Operating profits by Korean conglomerates were up 21.6 percent, from 18.15 trillion won to 102.252 trillion won, while overall sales recorded an increase by 4.2 percent.
In particular, Samsung Electronics‘ shares rose by 106 trillion won, which accounts for nearly 70 percent of the top 30’s total combined increase. The company’s operating profits grew by 16 percent while its market cap grew by 33.8 percent.
However, the largest market spike this year was recorded by Doosan Group, Korea’s 12th largest conglomerate. Doosan’s market value soared by 84.4 percent, attributed to its 1,986 percent surge in operating profits since last year.
Many of the country’s top 30 firms also saw a double-digit market value increase compared to 2016 including Hyundai Heavy Industries Co. at 69.9 percent, Posco at 56.3 percent, SK with its 30.1 percent growth and LS at 29.5 percent.
On the other hand, CJ Group, the local entertainment and food giant, recorded the biggest market drop of more than 16 percent. Despite a 12.6 percent sales growth rate of the group’s nine listed companies and an operating profit growth rate of 1.4 percent, the company’s market cap has fallen 16.2 percent so far this year.
In the case of OCI Group, despite a 341.1 percent surge of it listed companies‘ operating profits, the company’s market cap still fell by 30.9 percent. Industry insiders attribute the drop in share value was due its off-loading of OCI Materials and Nexolon.
By Julie Jackson/The Korea Herald (juliejackson@heraldcorp.com)
According to a survey by CEOScore, the combined market value of the 176 listed firms owned by the country’s 30 largest business groups reached 969.9 trillion won ($853.8 billion) as of Friday, up 18.7 percent from 817.3 trillion won tallied on Jan. 1 last year.
Operating profits by Korean conglomerates were up 21.6 percent, from 18.15 trillion won to 102.252 trillion won, while overall sales recorded an increase by 4.2 percent.
In particular, Samsung Electronics‘ shares rose by 106 trillion won, which accounts for nearly 70 percent of the top 30’s total combined increase. The company’s operating profits grew by 16 percent while its market cap grew by 33.8 percent.
However, the largest market spike this year was recorded by Doosan Group, Korea’s 12th largest conglomerate. Doosan’s market value soared by 84.4 percent, attributed to its 1,986 percent surge in operating profits since last year.
Many of the country’s top 30 firms also saw a double-digit market value increase compared to 2016 including Hyundai Heavy Industries Co. at 69.9 percent, Posco at 56.3 percent, SK with its 30.1 percent growth and LS at 29.5 percent.
On the other hand, CJ Group, the local entertainment and food giant, recorded the biggest market drop of more than 16 percent. Despite a 12.6 percent sales growth rate of the group’s nine listed companies and an operating profit growth rate of 1.4 percent, the company’s market cap has fallen 16.2 percent so far this year.
In the case of OCI Group, despite a 341.1 percent surge of it listed companies‘ operating profits, the company’s market cap still fell by 30.9 percent. Industry insiders attribute the drop in share value was due its off-loading of OCI Materials and Nexolon.
By Julie Jackson/The Korea Herald (juliejackson@heraldcorp.com)
