[Click eStock] "CJ CheilJedang, This Year's Performance Lower in the First Half and Higher in the Second Half"

On the 24th, Hana Securities analyzed CJ CheilJedang, stating, "This year's performance is expected to follow a 'low in the first half, high in the second half' trend," and added, "Considering the company's long-term commitment to restructuring its business towards food, buying at a low price is effective." The investment opinion 'BUY' and the target price of 420,000 KRW were maintained.

Hana Securities estimated that CJ CheilJedang's consolidated financial statements for the first quarter of this year would show sales and operating profit of 7.3979 trillion KRW and 364.7 billion KRW, respectively, representing a 2.5% increase and a 3.0% decrease compared to the same period last year. These figures slightly fall short of market expectations. Analyst Shim Eun-joo stated, "The domestic consumption slump, which was a burden on the fourth-quarter performance, and the partial line operation disruption caused by the tornado in the U.S. are expected to continue into the first quarter," and added, "Annual performance is expected to follow a low in the first half, high in the second half trend, and the yearly results will meet market expectations."

Hana Securities forecasted a more favorable business environment in the second half of the year. Since the beginning of the year, grain prices have shown a stable trend, and the domestic processing sector is gradually reflecting the effect of the resumption of transactions with Coupang. In the Americas region, repairs to the dessert line affected by the tornado are expected to be completed within the first half of the year. In the bio sector, CJ CheilJedang is expected to benefit indirectly due to the diversification of production bases, following the EU's imposition of anti-dumping duties on Chinese lysine products.

He analyzed, "The current stock price is at a historical low with a 12-month forward PER of 8 times," and added, "Considering the long-term commitment to restructuring the business towards 'food,' buying at a low price seems effective."