[Click eStock] "Aton, A Time Worth Paying Attention to Again"

Shinhan Investment Corp. introduced on the 13th that it is a time worth paying attention to Aton again.

Aton is a company engaged in mobile OTP, private certificate solutions, the ‘PASS’ app, and certificates.

Choi Seunghwan, a researcher at Shinhan Investment Corp., stated in a report on the day, “Even after the high-growth period during COVID-19, continuous sales growth has been shown due to increases in users and usage frequency,” and analyzed that “due to declining market interest, the stock price has reached an undervalued area.”

Researcher Choi explained, “The first half of the year highlights the high profitability of the core business, and in the second half, growth in subsidiaries and SI project sales is expected, making the possibility of escaping undervaluation greater.”

The fintech security solutions sector provides identity authentication software such as mobile certificates and mobile OTPs to commercial banks. He said, “It is highly profitable, practically has no competitors, and accompanies commercial banks in their overseas expansion, thus holding additional growth momentum,” and predicted, “The fintech platform sector operating the ‘PASS’ service, which replaces the public certificate, will continue high growth in users and authentication counts even after the high-growth period during COVID-19, with certificate issuance increasing from 20 million in 2020 to 50 million this year.”

He analyzed, “Although the operators of the PASS service differ, Aton receives a portion of the revenue generated during login and authentication, serving as a growing cash cow,” and “While top-line growth in the first half is expected to remain in the single digits, operating profit is expected to grow significantly centered on the highly profitable core business.”