LS Securities on the 15th said NAVER has secured growth drivers through AI upgrades, including a shopping artificial intelligence (AI) agent. It initiated coverage with a Buy rating and a target price of 287,000 won. NAVER closed the previous session at 201,000 won.
LS Securities projected that this year NAVER's sales and operating profit on a consolidation basis will rise 12.6% and 18.5%, respectively, from a year earlier.
NAVER's key engine expected to drive this growth is AI upgrades within major business divisions.
Senior researcher Seon Yu-jin at LS Securities said, "This year, continued AI upgrades and broader application in core businesses will likely increase AI's contribution to results," adding, "Vertical AI agents for each area, including search, Place, and finance, will be rolled out sequentially."
The researcher added, "This year, by launching a shopping agent based on Jo AI, it secured a high-growth driver," and said, "Within the year, it will also unveil 'Agent N,' which integrates AI agents by field, to solidify the user base."
The researcher also expected NAVER's commerce division profitability to strengthen this year.
The researcher said, "With the overhaul of commerce brokerage fees, the effect of higher fees will be reflected for the full year," adding, "We can also expect meaningful market share gains in commerce through NAVER's efforts to enhance delivery competitiveness."