[Special Stock] Woori Financial Group Rises Over 6% on 'Strong Earnings and Value-Up Plan' Announcement

Woori Financial Group's stock is showing strong performance following the announcement of its surprise Q2 earnings and value-up plan.

As of 9:13 AM on the 26th, Woori Financial Group was trading at 15,420 KRW, up 890 KRW (6.13%) from the previous trading day.

The day before, Woori Financial Group announced that its controlling shareholder net profit for Q2 increased by 49% year-on-year to 931.4 billion KRW, surpassing market expectations by 18%.

On the same day, Hanwha Investment & Securities stated, "We positively evaluate the potential for expansion in both scale and profitability," and raised Woori Financial Group's target price from 18,000 KRW to 20,000 KRW, maintaining a buy rating.

Kim Do-ha, a researcher at Hanwha Investment & Securities, said, "Better-than-expected fee income and increased gains from loan asset sales drove the strong performance," adding, "As the first bank stock to disclose a value-up plan, it set mid-to-long-term targets such as a return on equity (ROE) of 10% and a shareholder return ratio of 50%. At this point, the capital ratio brackets for shareholder returns have been further subdivided, and the return rates for each bracket have been raised compared to before."

He also added, "With the launch of the merged securities firm scheduled for next month, if the insurance company currently under due diligence is acquired, an additional controlling net profit of around 300 billion KRW annually is expected."