[Featured Stock] Cafe24 Surges 13% on Earnings Surprise... Hits New High

Cafe24 is soaring due to strong performance last year. It recorded a 52-week high during trading.

As of 9:13 a.m. on the 26th, Cafe24 is trading at 61,000 KRW, up 7,200 KRW (13.38%) from the previous day. During trading, it rose to 64,400 KRW, setting a new 52-week high.

On the previous day, Cafe24 announced that its consolidated operating profit for last year turned positive at 31.9 billion KRW. Sales for the same period were 302.5 billion KRW, an increase of 11.6% compared to the previous year. Fourth-quarter sales and operating profit were 87.1 billion KRW and 13 billion KRW, respectively. These figures represent increases of 19.2% and 132.8% compared to the same period last year.

Aram Kim, a researcher at Shinhan Investment Corp., said, "The fourth quarter recorded the highest-ever operating profit, exceeding the consensus (average securities firm forecast) by 46%," adding, "The overwhelming growth rate in performance will serve as the basis for a multiple premium, and the stock price, which had hesitated due to valuation concerns, will gain upward momentum once again." She continued, "While it is reasonable to assign a premium due to the overwhelming growth rate, if the stock price rises too steeply in the future, it may again face valuation pressure."