[Click eStock] "SK Telecom Expected to Rebound as Negative Factors Dissipate in September"

On August 27, Hana Securities stated regarding SK Telecom, "The likelihood of market concerns such as an extension of penalty exemption, imposition of fines, or a reduction in dividends becoming reality appears to be low," adding, "As negative factors dissipate next month, a rebound in the stock price is expected." Accordingly, the company maintained its 'Buy' investment rating and a target price of 70,000 won.

Kim Hongsik, a researcher at Hana Securities, explained, "SK Telecom has high short-term investment appeal, so we present it as our top pick in the telecommunications services sector for September." Regarding the extension of the penalty exemption, he pointed out, "The Telecommunications Dispute Mediation Committee decided to extend the deadline until the end of this year, but this is a dispute mediation, not an administrative order, so there is no obligation to accept it." On concerns about fines, he analyzed, "In theory, up to 3% of revenue could be imposed, but since SK Telecom has already implemented over 500 billion won in fee reductions, it is more likely that the fine will be in the hundreds of billions of won range."

He also assessed concerns about dividends as excessive. Kim noted, "Since the basis for calculating dividends is consolidated net income excluding one-off expenses, there is little justification for a reduction in dividends due to the recent hacking incident," and projected, "Given strong shareholder opposition, the DPS (dividend per share) for the third quarter of this year is also likely to be maintained at 830 won."

As a potential positive factor going forward, he cited the possibility of legislation for separate taxation on dividends. He explained, "If separate taxation on dividends becomes a reality, SK Telecom's after-tax dividend yield will be at least 4% and could exceed 5%, surpassing prevailing market interest rates."

Kim also predicted, "With SK Telecom's operating profit consensus for 2025 having been lowered to the 1 trillion won range, the company is expected to show the highest profit growth among the three major telecom companies in 2026." He projected, "Consolidated operating profit could reach between 1.8 trillion and 2 trillion won, and consensus upgrades are likely to occur after the end of the year." He emphasized, "The current moment is actually an opportunity to buy SK Telecom shares at a low price, and its long-term investment appeal remains valid."