Sangsangin Securities forecasted on the 1st that Pharmaresearch could experience another momentum for stock price increase in the second half of the year. They maintained a 'Buy' investment rating and raised the target price from the previous 180,000 KRW to 210,000 KRW.
Researcher Ha Taegi of Sangsangin Securities stated, "Exports are expected to shift to growth in the second half of the year," adding, "New market entries were made in Australia and Chile in the second half of last year, and it is expected to expand into three South American countries this year as well." He further predicted, "From the second half, there will be a meaningful growth trend compared to the previous quarter."
Additionally, Researcher Ha projected that cosmetics sales will continue to grow rapidly. He noted, "Cosmetics sales in the domestic market stagnated in the second half of last year due to a reduction in home shopping sales, but have turned to growth again since the first half of this year," emphasizing, "The Rejuran brand achieved economies of scale with sales of 58.5 billion KRW last year, successfully establishing itself in the domestic cosmetics market." He continued, "Recently, interest in K-Beauty has increased in the US and Japan, improving the export environment," and predicted, "With stable growth in cosmetics exports, total cosmetics sales this year could grow by around 30%."
The stock valuation is also positive. Researcher Ha added, "Although the stock price surged sharply in the first half and a short-term correction is possible, considering the growth rate of operating performance, it is still undervalued," concluding, "The strategy of buying at the current stock price level and holding remains valid."
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