Hyundai Department Store Surges in Department and Duty-Free Sales Despite Zinus Slump [Click e-Stock]

On September 17, Heungkuk Securities lowered its target price for Hyundai Department Store from 170,000 won to 150,000 won, reflecting the delayed improvement in Zinus's performance. The investment opinion was maintained as 'Buy.'

In a report released the same day, Park Jongryeol, an analyst at Heungkuk Securities, stated, "Due to profit-taking by institutional and foreign investors since mid-June, the share price has fallen to pre-surge levels." He added, "However, the asset effect remains in place, and sales trends for department stores and duty-free shops remain solid from July to September."

On a consolidated basis, the company’s third-quarter results are expected to improve compared to the sluggish performance in the first half of the year. Heungkuk Securities estimates that Hyundai Department Store’s total gross sales for the third quarter will increase by 7.5% year-on-year to 2.45 trillion won, and that operating profit will rise by 31.4% to 95.8 billion won.

Analyst Park explained, "Zinus continues to record operating losses due to U.S. tariff policy, but department stores and duty-free shops are offsetting this." He added, "With new stores opening in key business districts, including The Hyundai Busan, Gyeongsan Premium Outlet, and The Hyundai Gwangju, the company is expected to secure long-term growth engines."

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