[Click eStock] "SK Telecom, Don't Miss the 6% Dividend"

[Asia Economy Reporter Ji Yeon-jin] Daishin Securities stated on the 1st that SK Telecom's current stock price is considered undervalued as the annualized dividend yield is over 6%. They also maintained a buy rating and a target price of 89,000 won.

SK Telecom was re-listed on the 29th of last month following a spin-off and stock split, with the opening price on the first trading day set at 53,400 won, 14% lower than the reference price. The stock rose 8.4% on the first day but fell 5.9% the following day. Kim Hoe-jae, a researcher at Daishin Securities, said, "The closing price corresponds to a price-to-earnings ratio (PER) of 12.2 times based on this year's expected earnings, which is not burdensome, and with an annualized dividend yield between 6.1% and 7.0%, the current stock price is considered undervalued."

The company has been conducting quarterly dividends since 2023, guaranteeing performance-linked and minimum dividends. The dividend for the fourth quarter of this year, combined with the first quarter, is set at a minimum dividend of 1,655 won, resulting in a dividend yield of 3.04%. When annualized, this corresponds to 6.1%.