[Asia Economy Reporter Hyungsoo Park] As the COVID-19 vaccination rate increases, expectations for demand recovery in the travel and entertainment sectors are growing. Interpark's stock price is also rising based on expectations of improved performance.
At 11:06 a.m. on the 31st, Interpark was trading at 5,860 KRW, up 14.01% from the previous trading day.
Oh Kangho, a researcher at Shinhan Financial Investment, said, "Last year, industries in contact sectors such as entertainment, leisure, and travel experienced difficult times due to COVID-19," and explained, "With the start of vaccination, quarantine lifting, and a decrease in confirmed cases, pent-up consumer demand will explosively emerge."
He added, "The number of outbound travelers is expected to increase to about 15 million next year," and "reservations related to travel and leisure will also surge."
Oh said, "Among business sectors, the biggest beneficiaries are the tour and ENT sectors," emphasizing, "These are business groups expected to achieve high growth upon market recovery, based on a high market share in domestic airline tickets and accommodation."
He estimated sales of 3.5083 trillion KRW and operating profit of 34 billion KRW in 2022. Oh analyzed, "It will be a remarkable year of performance growth following the market recovery after COVID-19," and "stock prices often lead performance." He also mentioned, "There could be a valuation re-rating in the second half of this year."
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