[Click eStock] "NHN KCP, Continued Growth in Trading Volume"

LS Securities forecasted that NHN KCP, a specialist in electronic payments, will continue stable growth in 2025. They maintained a buy rating and a target price of 12,000 KRW.

NHN KCP recorded consolidated sales of 1.1 trillion KRW and an operating profit of 43.8 billion KRW last year. These figures represent growth of 14% and 4% respectively compared to the same period the previous year. The annual transaction volume was 48.6 trillion KRW, with 41.9 trillion KRW domestically and 6.7 trillion KRW overseas.

Jo Eun-ae, a researcher at LS Securities, explained, "Domestically, despite the removal of major merchants due to the Timf incident, the transaction volume growth of mega-merchants such as Coupang and Kurly continued at a high rate, significantly exceeding the market growth rate. Overseas, high growth in transaction volumes continued in sectors such as Apple, Tesla, OTA, and OTT."

Researcher Jo predicted that stable growth will continue this year. She said, "NHN KCP aims to sustain double-digit growth in transaction volumes through continued growth from existing merchants and the addition of new merchants. The full-year reflection of Korea Credit Card Payment performance will also be factored in."

She added, "Since NHN KCP is showing stable profit growth by maintaining high growth in domestic and overseas transaction volumes that exceed market growth, the historically low PER of 6 times is considered undervalued."