[THE INVESTOR] Pharma Research Products
has a strong portfolio of facial cosmetic products and has secured grounds for growth, said Hana Financial Investment on Jan. 12, maintaining a “buy” recommendation and raising the target price to 79,500 won (US$74.58) from 71,200 won.
The company has announced that it will take over filler division of Amorepacific
’s affiliate Aestra.
This expands its product lines ranging from healers and botulinum toxin to fillers, and will further boost its expansion in China, said analyst Lee Jeong-gi.
Pharma Research Product had 100 billion won cash reserves as of third quarter last year, and the acquisition will bolster its growth and competitiveness without burdening it financially, underlined the analyst.
Its price-earnings ratio this year is estimated to be 26 times, the highest leap in the industry, but the firm is most undervalued, according to Lee.
By Hwang You-mee (email@example.com