[Click eStock] "Cosmax Performing Well Both Domestically and Overseas"

Sangsangin Securities announced on July 17 that while Cosmax's valuation (stock price relative to corporate value) remains somewhat burdensome, the contribution of overseas performance is expected to continue expanding. The firm raised its target price from 230,000 won to 310,000 won and upgraded its investment rating from 'neutral' to 'buy'.

Cosmax's consolidated sales for the second quarter are estimated at 646.2 billion won (up 17.2% year-on-year), with operating profit at 66.1 billion won (up 41.5%). The steady performance is attributed to increasing domestic sales and indirect exports, as well as a solid expansion in direct export volumes to overseas clients.

Kim Hyemi, a researcher at Sangsangin Securities, stated, "A full-fledged turnaround is expected due to the low base effect of the Shanghai subsidiary, the transfer effect from joint sales activation, and the expansion of clients (including offline and export clients)." She predicted a 10% growth in sales from China. As for the United States, Kim noted that the opening of the West Coast sales office has led to an increase in clients, which is expected to narrow the decline in sales.

Kim also commented, "Southeast Asian sales continue to show strong growth thanks to robust performance from major clients," forecasting 15% growth in Indonesia and 106% growth in Thailand.