[Click eStock] "Zinus, Earnings Uncertainty Remains but Valuation Attractive"

[Asia Economy Reporter Ji Yeon-jin] SK Securities stated on the 12th that although short-term earnings uncertainty remains for Jinus, its valuation attractiveness stands out compared to global competitors, maintaining a buy investment opinion and a target price of 112,000 KRW.

Jinus's first-half performance fell short of market expectations due to ongoing issues such as the global logistics crisis, rising raw material prices, and high shipping freight rates. Revenue recognition delays continued due to a shortage of shipping capacity, and cost pressures expanded as major raw material prices surged. Shipping freight rates also remained at high levels, overall acting as negative factors for the company's performance.

Shin Seo-jeong, a researcher at SK Securities, said, "Since these issues are expected to continue into the third quarter, the focus should be on mid- to long-term strategic directions rather than short-term earnings expectations," adding, "Inducing customers' direct import (DI sales) and expanding the introduction of eco-friendly recycled paper packaging in line with global trends are positive, and Jinus's customer reviews still show good results, with expectations for the market environment, reputation, and growth potential in the major U.S. market."