[Featured Stock] GS Geonseol Hits 52-Week High... Expectations Rise on Earnings Rebound and Industry Improvement

Record High of 21,250 KRW in 52 Weeks Marks Uptrend
Positive Factors from Real Estate Market Recovery and Government Policies
Overall Construction Sector Uptrend with Expected Performance Improvement

GS Construction has broken its 52-week high. The stock appears to be gaining upward momentum as earnings improvement is expected and the real estate market is recovering.

As of 10:37 AM on the 20th, GS Construction is trading at 20,800 KRW, up 4.31% (860 KRW) from the previous day. This surpasses the 52-week high of 20,400 KRW recorded on July 31. The intraday high reached 21,250 KRW.

GS Construction returned to profitability in the second quarter, posting sales of 3.2972 trillion KRW and an operating profit of 93.7 billion KRW. The Seoul apartment transaction price index has been rising for six consecutive months, showing the largest increase in one year and four months as of June. The real estate market, which had been sluggish for some time, is showing signs of revival, and the government’s policy to release greenbelt areas in and around Seoul to supply 80,000 housing units is bringing positive momentum to the industry.

Seonmi Kim, a researcher at Shinhan Investment Corp., said, "With the expansion of housing supply plans, the resumption of new housing projects, led by urban redevelopment projects, is expected," adding, "This is positive for construction companies in terms of revitalizing order backlogs and expanding new orders."

Meanwhile, other stocks in the construction sector such as DL E&C (2.4%), HDC Hyundai Development Company (5.35%), Daewoo Construction (4.80%), Samsung C&T (1.18%), and Hyundai Construction (2.43%) are also showing upward trends.