BGF Retail, a company listed on the main bourse, was strong early on the 11th. Following last year's solid results, brokerages raised their target prices across the board, which appears to have drawn in buyers.
As of 10:29 a.m. on the 11th, BGF Retail was transaction at 136,200 won, up 10,000 won (7.92%) from the previous session. During trading, it rose to 143,400 won, setting a 1-year high.
BGF Retail, which operates the CU convenience store chain, said the previous day that last year's revenue surpassed 9 trillion won, marking its best performance on record. Fourth-quarter revenue on a consolidation basis was 2.2923 trillion won and operating profit was 64.2 billion won, up 3.4% and 24.4%, respectively, from a year earlier. On the strong results, BGF Retail shares rose 3.33% the previous day.
Also, with the securities community lifting target prices one after another on expectations of improved earnings, the stock has been strong for a second straight day.
On the day, nine firms raised their target price for BGF Retail: IBK Securities (145,000→190,000 won), Daishin Securities (150,000→170,000 won), Samsung Securities (150,000→162,000 won), NH Investment & Securities (150,000→160,000 won), Hanwha Investment & Securities (150,000→160,000 won), Sangsangin Investment & Securities (140,000→160,000 won), DB Securities (130,000→160,000 won), Mirae Asset Securities (140,000→160,000 won), and Shinhan Investment (145,000→155,000 won).
Researcher Jo Sang-hoon at Shinhan Investment said, "Convenience store competitiveness is recovering," adding, "With industry restructuring continuing this year, the tilt toward top players will accelerate, and mid-to-large, high-quality stores that survive will lead the recovery."