[Market Focus] POSCO Holdings Surges Over 7% on Expectations for Anti-Dumping Petition

The share price of POSCO Holdings is showing strength on July 3, supported by factors such as easing cost pressures and expectations surrounding anti-dumping petitions.

As of 9:50 a.m. on this day, POSCO Holdings is trading at 308,500 won per share, up 7.12% from the previous session.

This buying trend is interpreted as being driven by positive outlooks from securities firms that the value of the steel business division will rise in the future, despite second-quarter earnings forecasts falling short of market consensus.

In a report released on this day, Daol Investment & Securities stated that attention should be paid to the results of the anti-dumping petition, which are expected to be announced at the end of this month, as well as the easing of cost pressures due to the rise in the exchange rate. The firm raised its target price for POSCO Holdings from 370,000 won per share to 420,000 won per share.

Lee Jungwoo, a researcher at Daol Investment & Securities, said, "As early as the end of July, the preliminary results of the hot-rolled anti-dumping investigation and the main results of the plate anti-dumping investigation are expected to be announced." He added, "If anti-dumping duties are imposed on hot-rolled products, we can expect a decrease in import volumes and price increases in items such as cold-rolled products and steel pipes."

He maintained a 'buy' investment opinion, stating, "With the downward revision of the exchange rate forecast, cost pressures are expected to ease, which will likely increase the value of POSCO Holdings' steel business division."

Previously, Park Hyunwook, a researcher at Hyundai Motor Securities, also noted, "Although gradual, earnings growth is expected, and in the second half of the year, production cuts and export declines in China, as well as future restructuring, are anticipated." He diagnosed, "Considering the price-to-book ratio of 0.4 times, investment sentiment is expected to gradually improve as supply-side conditions get better." In addition, the recent rise in holding company share prices following amendments to the Commercial Act is also seen as a contributing factor.