Easy Holdings shares surged in early trading on the 23rd. Buying appears to be driven by news that Easy Holdings will increase dividends.
As of 9:35 a.m. that day, Easy Holdings stock was trading at 7,720 won on the KOSDAQ market, up 29.97% (1,780 won) from the previous day.
Earlier, Easy Holdings disclosed it will pay a per-share dividend of 1,361 won. Based on the closing price on the 20th, the dividend yield comes to 22.9%. The dividend totals 87.8 billion won, a one-off dividend that fully uses the funds from the reduced dividend pool.
Choi Seung-hwan, an analyst at Shinhan Investment & Securities, said, "We expect dividends exceeding a 40% payout ratio on a separate basis going forward," adding, "The improved earnings have established a virtuous cycle that leads to shareholder returns."