[Click eStock] "Seers Could Achieve 1 Trillion Won in Sales by 2030... Rare Opportunity to Invest in a High-Growth Stock"

Shinhan Sets Target Price at 55,000 Won and Issues 'Buy' Rating

On June 24, Shinhan Investment Corp. newly initiated coverage on Seers, setting a target price of 55,000 won and a 'Buy' investment rating, forecasting that the company could achieve sales of 1 trillion won by 2030.

Choi Seunghwan, a researcher at Shinhan Investment Corp., stated, "Despite the strong stock price rally projected for 2024 to 2025, Seers' profit growth is expected to support and even strengthen its valuation merit. We see robust high growth driven by less than 5% penetration rates of thynC and Mobicare in Korea, while entirely new growth engines such as the subscription model, the out-of-hospital market, and international markets are only now beginning to emerge."

He continued, "A scenario in which sales reach 1 trillion won by 2030 is highly plausible and can be reasonably estimated. Due to recent market concentration and share price adjustments, we believe this presents a rare opportunity to invest in a high-growth stock at an early stage."

The analyst placed a high valuation on the subscription model of thynC, the inpatient monitoring platform. Choi noted, "From the fifth year after installation, thynC transitions from a build-up model to a subscription model, which has strengthened recurring sales. The annual subscription revenue per hospital bed is 1.53 million won, and if 100,000 beds are secured, annual subscription revenue alone would exceed 15 billion won."

Seers is also pioneering out-of-hospital markets such as RPM (remote patient monitoring), life-sustaining treatment, and remote consultations. In May, Seers took its first step into this sector by signing an MOU with Samsung Fire & Marine Insurance. Choi added, "Compared to inpatients, the financial burden is reduced, which aligns with the direction supported by the National Health Insurance Service. While form factor competition may reignite, Seers, with its strengths in diagnostic accuracy and hospital connectivity, is expected to emerge as the winner."

Additionally, in May, Seers signed a Mobicare contract worth 22 billion won with OneHealth in the United Arab Emirates (UAE). Mobicare is Seers' AI algorithm-based electrocardiogram (ECG) testing platform that uses wearable patches. Choi noted, "The Middle East market has a population similar to Korea but the unit price is more than nine times higher. The U.S. ECG market is expected to receive FDA approval in the third quarter and to enter next year, with the number of tests more than twice that of Korea and the unit price more than three times higher."

This content was produced with the assistance of AI translation services.