LG H&H's stock price is strong on the 29th. This is interpreted as a response to evaluations that the company performed well in the first quarter of this year.
According to the Korea Exchange, as of 9:32 a.m., LG H&H is trading at 342,500 won, up 23,000 won (7.21%) from the previous trading day.
The day before, LG H&H announced that its consolidated operating profit for the first quarter of this year was recorded at 142.4 billion won, a decrease of 5.7% compared to the same period last year. This figure exceeds market expectations. Revenue was recorded at 1.6979 trillion won, down 1.8% from the same period last year.
Consequently, securities analysts have concluded that LG H&H successfully defended its performance and have subsequently raised their target prices. Jeong Han-sol, a researcher at DAISHIN SECURITIES, noted that "the growth of its own brand in North America and Japan continues, indicating positive regional diversification" and adjusted the target price from 320,000 won to 340,000 won.
Lee Ga-young, a researcher at Samsung Securities, stated, "Although the sales ratio is small, profitability is improving alongside sales growth in Japan. In the U.S., sales are growing due to aggressive marketing and favorable conditions for K-beauty," raising the target price from 320,000 won to 340,000 won.
Jo So-jeong, a researcher at Kiwoom Securities, who adjusted the target price from 400,000 won to 450,000 won, remarked, "The brand performance in the U.S. is noteworthy," adding, "Despite not entering direct sales on Amazon, sales have increased by approximately 70% compared to last year. If the sales structure is transitioned during the first half of the year, additional sales growth is expected."
Park Eun-jung, a researcher at Hana Securities, also raised the target price from 400,000 won to 420,000 won, stating, "The result clearly displayed the company's structural changes, showing high growth in new channels, the start of double-digit growth outside China, and a turnaround to profit in China."