Daishin Securities analyzed that after the martial law in December last year, the investment sentiment froze due to the incident at Muan International Airport that followed. However, the scale of canceled packages is not large, so the impact on performance seems to be minimal. They maintained a target stock price of 75,000 won and an investment opinion of 'buy.' The closing price of Hana Tour on the previous trading day was 54,700 won.
Daishin Securities stated that while the number of package travelers recovered in the fourth quarter of last year, performance is expected to fall short of estimates due to a decline in average selling price (ASP). Daishin Securities projected that Hana Tour's operating income in the fourth quarter of last year would be 12.2 billion won, an increase of 9.4% compared to the previous year.
Lim Su-jin, a Research Institute analyst at Daishin Securities, said, 'In the fourth quarter, despite it being the off-season, the number of package travelers grew by 19% quarter-on-quarter due to the base effect of the disappearance of the negative impact from the Tohoku and Nankai earthquakes. However, the ASP is expected to decrease by 12.4% from the previous quarter to 954,000 won, as the proportion of short-haul routes increases and price competition intensifies.'
Although the annual peak season has recently begun, Hana Tour's investment sentiment has been dampened due to the martial law in December and the incident at Muan International Airport.
Research Institute analyst Lim stated, 'Hana Tour is waiving cancellation and change fees for all products using Jeju Air,' adding that 'the scale of canceled packages is currently estimated to be less than 2% of total sales, so the impact on performance is limited.'
This year, it is expected that the one-time expenses due to the Tohoku and Nankai earthquakes from last year will be eliminated, leading to an over 60% increase in operating income compared to the previous year, driven by growth centered on Chinese packages.
Research Institute analyst Lim mentioned, 'Hana Tour announced a shareholder return policy that greatly exceeds market expectations (1,600 won) with a dividends per share (DPS) of 2,300 won last year,' adding that 'an active shareholder return policy will be highlighted.' The dividend record date is scheduled for the 8th.
He continued, 'With a high profit growth trend expected next year, the attractiveness of dividends is expected to continue to expand,' suggesting Hana Tour as the top pick in the sector.