NH Investment & Securities raises Samsung Life’s target price to 45ten-thousand won, maintaining its linkage to Samsung Electronics
NH Investment & Securities raised Samsung Life’s target price to 45ten-thousand won and maintained its ‘Buy’ rating. It assessed that Samsung Life’s share price is highly likely to move in tandem with Samsung Electronics as the value of its nonfinancial equity holdings has increased with the rise in Samsung Electronics’ share price.
NH Investment & Securities raised Samsung Life’s target price on 15 to 45ten-thousand won and maintained its ‘Buy’ rating. The company said the change reflected the impact of the rise in Samsung Electronics’ share price.
The company explained that the additional rise in Samsung Electronics’ share price after its report presenting a previous target price of 41 ten-thousand 8thousand won was the reason for the increase. It said the target-price increase reflected Samsung Electronics’ additional gains.
The company calculated that the value of Samsung Life’s nonfinancial equity holdings increased from 52 hundred million 1ten-thousand won to 56 hundred million 6ten-thousand won. This figure shows that nonfinancial equity holdings account for a larger share of the company’s overall value.
Samsung Life’s stake in Samsung Electronics was reported at 8.5%. Changes in the value of this stake have a direct impact on Samsung Life’s corporate value.
NH Investment & Securities stated that fluctuations in Samsung Electronics’ share price are immediately reflected in Samsung Life’s equity and share-price level. Accordingly, it assessed that Samsung Electronics and Samsung Life shares are highly likely to move in the same direction for the time being.
The company’s announcement is as stated above, and investors need to check fluctuations in Samsung Electronics’ share price and disclosures related to Samsung Life’s stake.