[Featured Stock] Naver Rebounds After 5 Trading Days... Gains Over 2%

[Asia Economy Reporter Kwon Jae-hee] Naver (NAVER) has succeeded in rebounding after five trading days, recording a rise of over 2%.

As of 9:40 a.m. on the 6th, Naver is trading at 167,500 KRW, up 2.13% compared to the previous trading day. In the early session, Naver recorded a 3.05% increase, rising to 169,000 KRW, before fluctuating around the 2% range.

Naver's stock price had been declining for five consecutive trading days since the 28th of last month, but showed strength by rebounding over 2% on this day. It is estimated that bargain buying has flowed in.

Recently, Naver showed weakness as negative factors causing the stock price decline emerged one after another.

This year, led by the U.S. Federal Reserve (Fed), major central banks around the world have consecutively implemented aggressive interest rate hikes, creating an unfavorable environment for growth stocks. Interest rate hikes increase the discount rate on companies' future earnings, which burdens growth stocks.

In particular, on the 4th, when news broke that Naver had acquired a stake in the North American secondhand fashion platform 'Poshmark,' the stock price fluctuated even more. Concerns arose that the acquisition might have been made at a somewhat high price amid uncertain prospects for the platform business.

As a result, Naver's stock price closed at 164,000 KRW on the previous day, down 7.08% from the prior trading day, marking the lowest closing price since April 2020.