Samsung Securities on the 21st said attention should be paid to the fact that KCC(002380) has made concrete its shareholder return plan using investment assets it holds, including Samsung C&T. It kept KCC as the top pick in the sector and presented a target price of 6.5 million won and a "buy" rating. KCC's closing price in the previous trading day was 474,500 won.
Cho Hyun-ryeol, an analyst at Samsung Securities, said, "Compared with last year, KCC's released 2026 plan to enhance corporate value specifies the possibility of selling investment assets and newly sets out a plan to re-distribute Samsung C&T's special dividends, which is the biggest difference," and analyzed, "The more proactive change in the direction of shareholder returns is positive."
Through this plan, KCC for the first time made concrete its policy to sell investment-purpose assets at an appropriate time and return part of the gains on sale to shareholders. In particular, even before selling investment assets, it will re-distribute at least 50% of the special dividends received from Samsung C&T to KCC shareholders. From Samsung C&T's total dividends per share, the amount excluding the existing 2,500 won per share is the basis for calculating special dividends.
The existing plan to cancel treasury shares will also proceed as scheduled. KCC plans to cancel a total of 1,174,000 treasury shares in four rounds. The first cancellation was completed in the second quarter of this year, and the rest are planned for the fourth quarter of this year and the first and third quarters of next year.
Reflecting the strengthened dividend policy, Samsung Securities estimated KCC's dividends per share (DPS) at 150,000 won each for this year and next year, and 232,000 won in 2028. The expected dividend yields are 3.2%, 3.2%, and 4.9%, respectively. It also said there is a possibility that KCC's estimated dividend yield will rise further, as market forecasts for Samsung C&T's dividends do not yet fully reflect dividends to be received from Samsung Electronics.
The analyst said, "What investors expected from KCC was not the dividends themselves, but given the size of the investment assets, it is difficult to sell all of them in a short period," adding, "It is positive that a plan was set up to share profits with investors during the holding period." He continued, "Based on this, deeper discussions between investors and corporations on more in-depth shareholder return measures will be possible," maintaining the top pick view within the sector.