[Click eStock] "NAVER Could Become the Largest Fintech Company in Korea if It Acquires Dunamu"

On October 16, DB Securities analyzed that if NAVER acquires Dunamu through Naver Financial, it could grow into the largest fintech company in South Korea. The investment opinion of "Buy" and the target price of 346,000 won were both maintained.

Shin Eunjeong, a researcher at DB Securities, stated, "The key point to watch after the acquisition of Dunamu through Naver Financial is performance improvement," adding, "If consolidated, annual profit could increase by more than 40%, and net profit could grow by 10 to 15%."

She also expressed expectations that NAVER could take the lead in the Korean won stablecoin market. She said, "If a Korean won stablecoin is used, commerce margins could improve through fee reductions," and emphasized, "Depending on future government policy initiatives, there could be additional benefits." She further anticipated, "By providing cryptocurrency and unlisted services in addition to the existing Npay fintech business, NAVER could grow into the largest fintech company in the country."

However, she explained that there are still many steps remaining before the acquisition is completed, so it should be viewed as a long-term process. She said, "The news of fintech plus Dunamu, which could raise expectations for the previously stagnant advertising and commerce businesses, is very positive," but added, "However, there are still hurdles to overcome, such as determining the exact merger ratio, other shareholders of Dunamu, and the separation of banking and commerce. It is necessary to take a long-term perspective and wait."