Strong Earnings and Samsung Electronics Dividend... This Stock Could Rise Another 50% [Click e-Stock]

LS Securities has raised its target price for KCC to 731,000 won, citing strong earnings and dividends from Samsung Electronics as the reasons for the upward revision.

According to LS Securities on June 30, KCC is expected to achieve robust results this year, with sales reaching 6.7272 trillion won and operating profit at 419.2 billion won. Kyunghee Jung, a researcher at LS Securities, explained, "We are raising our operating profit estimates for the second quarter and for 2026 due to a faster-than-expected improvement in the silicon product mix and solid performance in the coatings business."

The newly presented target price of 731,000 won implies there is nearly 50% additional upside potential. In the domestic stock market on the previous day, KCC closed the regular session at 490,500 won per share.

In addition to the strong earnings, dividends flowing through Samsung Electronics, Samsung C&T, and KCC also had an impact. KCC is the second-largest shareholder (10.01%) of Samsung C&T, which holds a 5.05% stake in Samsung Electronics. Researcher Jung emphasized, "If the trickle-down effect from Samsung Electronics' dividend becomes visible, it will be a positive factor for profitability and shareholder returns."

She presented a 'Buy' recommendation, stating, "With a sharp increase in dividend income expected in 2026, we believe both the company's earnings value and asset value will rise."

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