[Featured Stock] Samsung Heavy Industries Rises Over 4% on Expectations of Return to Profitability

[Asia Economy Reporter Kwon Jae-hee] Samsung Heavy Industries is showing strength in early trading on the 31st amid expectations that it will end its streak of losses this year.

As of 9:35 AM today, Samsung Heavy Industries is trading at 5,490 KRW on the KOSPI market, up 4.77% from the previous trading day.

Korea Investment & Securities, which released a stock report on Samsung Heavy Industries today, raised its target price by 10% to 7,600 KRW.

Researcher Kang Kyung-tae of Korea Investment & Securities analyzed, "This year marks the end of eight consecutive years of operating losses. The five drillships that were held as inventory assets without delivery and reflected as large-scale impairment losses are gradually finding new owners, and the shipbuilding steel plates, which required significant cost adjustments due to soaring prices, have entered a stabilization phase in terms of price and supply-demand."

He added, "The company's order target for this year is 9.5 billion USD, slightly higher than last year's order performance," and maintained a 'Buy' investment rating on the stock.