[Featured Stock] Shinsegae Rises Over 4% on Consumer Stimulus and Reopening Optimism

[Asia Economy Reporter Kwon Jae-hee] Shinsegae is showing a strong performance with a rise of over 4%, driven by reopening expectations and domestic demand revitalization.

As of 10:13 AM on the 11th, Shinsegae is trading at 274,000 KRW on the KOSPI market, up 4.58% compared to the previous trading day.

With Yoon Seok-yeol, the People Power Party candidate, winning the 20th presidential election, the fact that regulatory measures such as restrictions on retail store openings and minimum wage increases were not included is also interpreted as having a positive impact on the stock price.

NH Investment & Securities has identified Shinsegae among companies related to domestic consumption stimulus policies. In particular, NH Investment & Securities named Shinsegae as the company with the strongest earnings momentum among reopening-related firms.

Meanwhile, Shinsegae recorded its highest-ever performance in the fourth quarter of last year. On a consolidated basis for Q4, Shinsegae achieved sales and operating profit of 1.934 trillion KRW and 195.1 billion KRW respectively, surpassing market expectations. Annual operating profit increased by 486% year-on-year to 517.3 billion KRW, surpassing 500 billion KRW for the first time in history.