[Feature Stock] 'Solid Performance and Dividend Appeal' Samsung Life Insurance Surges Over 5%

Samsung Life Insurance, which posted solid results in the first quarter of this year, is showing strong gains of over 5%.

As of 10:00 a.m. on May 19, Samsung Life Insurance was trading at 88,600 won, up 4,300 won (5.10%) from the previous trading day.

In the first quarter, Samsung Life Insurance's net profit attributable to controlling shareholders increased by 2% year-on-year to 635.3 billion won, slightly exceeding market expectations. Alongside these solid results, the balance of the Contractual Service Margin (CSM) rose by 3.2% compared to the previous quarter. Despite the government's introduction of a plan to adjust the discount rate to market levels, the company's capital adequacy ratio (K-ICS) remained at the target level of 180%.

On the same day, Kiwoom Securities maintained its "top pick in the insurance sector" rating for Samsung Life Insurance, reiterating its "Buy" investment opinion and target price of 140,000 won.

Ahn Youngjun, an analyst at Kiwoom Securities, stated, "Although further declines in interest rates represent a risk factor, Samsung Life Insurance has the highest potential for dividend per share (DPS) growth when considering earnings visibility. While the absolute expected dividend yield may be relatively lower within the sector, it is currently at a historically high level, making the valuation even more attractive. There is also potential for additional upside from factors such as governance restructuring."