[Featured Stocks] Education Stocks Rally Following Government's Online School Opening Announcement

[Image source=Yonhap News]

[Asia Economy Reporter Koo Eun-mo] As the government announced the sequential online school openings for schools at all levels due to the novel coronavirus infection (COVID-19) situation, education stocks have shown strong performance in the early market.

As of 9:17 a.m. on the 31st, Daekyo was trading at 6,310 KRW, up 29.97% (1,455 KRW) compared to the previous trading day. At the same time, most education stocks showed significant gains, including Visang Education (21.09%), NE Neungyule (19.66%), Multicampus (17.36%), Megastudy (17.93%), MegaMD (3.90%), Ice Cream Edu (4.23%), Cheongdam Learning (3.92%), and Digital Daesung (2.75%).

Prime Minister Chung Sye-kyun said at the Central Disaster and Safety Countermeasure Headquarters (CDSCH) meeting held at the Government Seoul Office on the same day regarding the school opening schedule amid the spread of COVID-19, "To reduce confusion, considering the preparation status and children's acceptance, I think it is reasonable to sequentially open schools starting from the middle of next week, April 9."

Prime Minister Chung added, "Considering the annual number of school days and entrance exam schedules, it is not easy to simply postpone school openings by giving up children's right to learn, so as an alternative, we are strongly considering online school openings."