[Click eStock] "Wooshin System, Low PBR·PER... Also Excellent Growth Potential"

Hana Securities analyzed on the 6th that Wusin System not only possesses solid fundamentals but also has excellent growth potential.

Kim Gyusang, a researcher at Hana Securities, stated in a report on the same day, “Based on this year's expected performance, Wusin System has a price-to-book ratio (PBR) of 1.07, a price-to-earnings ratio (PER) of 4.0, and a return on equity (ROE) of 29%, indicating solid fundamentals,” and “This year, additional orders of 260 billion KRW for secondary battery equipment and 200 billion KRW for seat belts are expected, leading to a 151% increase in total sales and a 155% increase in operating profit compared to the previous year.”

Researcher Kim Gyusang also said, “Among Wusin System’s seat belt order backlog of 2 trillion KRW, it is estimated that 50-60% is allocated to GM,” and “Since GM announced quarterly results exceeding consensus in the fourth quarter of last year and is expected to perform well this year, Wusin System is also projected to break its record high performance.”

He further explained, “Despite the slowdown in electric vehicle sales, investments in secondary battery production facilities by automakers and cell makers are expected to continue,” and “With additional orders from major clients anticipated within the first quarter, doubts about the growth of Wusin System’s secondary battery equipment business are expected to be resolved.”

Additionally, he stated, “Wusin System is practicing share repurchases to enhance shareholder value and is making efforts in shareholder returns,” and concluded, “It is a company that possesses solid fundamentals, high growth potential, and shareholder returns, making it a timely moment for a reevaluation of its corporate value.”