[Featured Stock] Samyang Foods Rebounds After 14 Days on 'Bargain Buying Opportunity' Assessment

Samyang Foods' stock price is rebounding in the stock market on the 30th. A securities firm's analysis report stated that the recent price correction was excessive, presenting a 'buying opportunity at a low price.'

[Image source=Yonhap News]

As of 10:02 AM on the day, Samyang Foods was trading at 486,000 KRW, up 3.08% from the previous day's closing price. After 13 consecutive trading days of correction, the stock is rebounding for the first time in 14 days.

The securities firm's analysis that the price correction was excessive appears to have led to renewed buying interest.

On the day, Kiwoom Securities stated, "Samyang Foods' stock price declined by more than 20% in August alone due to a temporary decrease in exports, falling excessively compared to its fundamentals," adding, "Considering the expansion of the global distribution network and the trend of increasing exports, the stock price is undervalued."

They also predicted, "Based on demand from China's October National Day, November Singles' Day, and next January's Lunar New Year, there is a high possibility of increased exports to China," and "Sales in North America and Europe are also expected to continue increasing."

However, Kiwoom Securities lowered Samyang Foods' target price from 830,000 KRW to 800,000 KRW, reflecting the recent downward trend in stock price and temporary export sluggishness.

Meanwhile, Samyang Foods' stock price hit a bottom at 169,000 KRW in February this year and, fueled by the global popularity of 'Buldak' ramen and others, rose to 718,000 KRW in June before undergoing a correction starting in July.