May 08, 2024

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[THE INVESTOR] Handsome has been slow in the third quarter, said Hyundai Motor Investment and Securities on Nov. 13, lowering the target price to 41,000 won (US$36.58) from 44,000 won.

Its revenue in the period hiked 91.9 percent on-year to 282.4 billion won but dented by one-off costs, operating profit fell 27.4 percent to 9.6 billion won, widely missing market expectations, said analyst Song Ha-yeon.

It has folded the home shopping channel line Moden and stocks had to be disposed while expanding markdowns to Hyundai G&F and Handsome’s global brands cost the apparel company, explained the analyst. 

The fact that profitability is growing despite the tough conditions should be highlighted, said Song, forecasting that its earnings in the fourth quarter will be strong compared to rivals.

By Hwang You-mee (glamazon@heraldcorp.com)