[Click eStock] "Ray, Full-Year Operating Profit Expected to Rise 325% YoY... Growth to Accelerate in H2"

[Asia Economy Reporter Hyunseok Yoo] Yuanta Securities analyzed on the 4th that Ray is a sufficiently attractive company as its performance is expected to increase significantly this year compared to the previous year. The investment opinion 'Buy' and the target stock price of 90,000 won were maintained.

Yuanta Securities forecasted that Ray's sales and operating profit this year will be 90.9 billion KRW and 19.7 billion KRW, respectively, representing increases of 64.7% and 325.4% compared to the previous year.

Researcher Juwon An of Yuanta Securities said, "Domestic and overseas dental sales are becoming active again, generating deferred demand, and the new product 3D face scanner, Ray Face, is showing strong sales," adding, "Performance expansion is expected due to the full-scale sales generation of DDS, a 3D oral scanner company, in the second half." He continued, "By region, performance growth is expected mainly in China, and growth in other overseas regions such as the United States and Europe is also expected to increase as the second half progresses."

He especially expected future growth potential. He said, "We expect clear performance growth in 2021, breaking away from the sluggish performance trend last year," emphasizing, "The dental sector is a representative contact industry, and more than 90% of Ray's sales are generated overseas."

He added, "As demand for digital dentistry increases and vaccine distribution expands, the performance will inevitably improve as we move away from COVID-19."

Collaboration with Care Capital was also cited as an anticipated factor. Researcher An said, "Since the process for signing the main contract with Care Capital is currently underway, the expectations remain alive," explaining, "Next year, sales through collaboration with Care Capital are expected to be fully realized, and growth in other overseas regions is also expected to strengthen, so the growth trend is expected to expand year by year."