[THE INVESTOR] Huons
has posted solid earnings in the third quarter and its exports will remain strong into next year, said Samsung Securities on Nov. 14, raising the target price to 88,000 won (US$78.69) from 80,000 won.
Its third-quarter revenue rose 20.1 percent on-year to 74.5 billion won and operating profit by 11.4 percent to 11.5 billion won, beating market expectations, said analyst Yoon Seon-yeong.
Both sales of prescribed chronic disease drugs at home and export of local anesthesia increased and sales of obesity treatment and immune booster were strong, explained the analyst. R&D costs dipped temporarily in the third quarter but will rise again, noted Yoon.
It will sign formal contracts with companies in Spain, Brazil and Russia in the first half of next year to export Hutox, a botulinum toxin developed on its own, and is expected to sign MOUs with partners in China and the US, according to the analyst.
Its stock price has spiked 55 percent from the lowest point in August but will maintain momentum, said Yoon maintaining a “buy” recommendation.
By Hwang You-mee (firstname.lastname@example.org