April 27, 2024

• 

[THE INVESTOR] Kumho Petrochemical will post an earnings surprise, said Samsung Securities on Jan. 15, raising the target price to 130,000 won (US$122.42) from 110,000 won.

Boosted by the energy sector’s improving profits from phenol derivatives and rise of system marginal price, its operating profit hiked 26.6 percent on-year to 73.1 billion won in the fourth quarter, beating market consensus, said analyst Cho Hyeon-ryeol.

Although Sinopec Qilu partially resumed production of styrene-butadiene rubber, the agreement on reducing export of natural rubber will bolster the price during the first quarter, said the analyst. 

The recent oil price hike will continue to push the SMP and this will in turn serve as a momentum for Kumho’s stock price, he added.

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