Naver and Kakao left behind amid the stock market rally, 29stock-price movements
29Naver closed on 23million4000 won (up 14.15% from the previous session), while Kakao closed at 4million1950 won (up 4.61% from the previous session). Since the start of the year, Naver has fallen 5.26%, while Kakao has fallen 32.45%. Brokerage analysts said the two companies are at a stage where they need to prove the profitability of their AI-related businesses.
While South Korea's stock market has risen broadly this year, Naver and Kakao shares have continued to lag behind. Concerns are growing among investors about the gap between the share prices of the two companies. Brokerage analysts said both companies are at a stage where they need to prove the profitability of their AI-related businesses. This combines trading figures compiled on 31 with assessments from brokerage analysts.
According to the Korea Exchange, on 29 Naver shares rose 14.15% from the previous trading session to 23 million4000 won at the close. The sharp rise in the share price that day was reportedly influenced by expectations that Nvidia CEO Jensen Huang would visit South Korea soon. Before the news emerged, Naver shares had also fluctuated during the session. The share-price movement changed substantially over a short period in response to the relevant disclosure and market reaction.
On the same day, Kakao rose 4.61% from the previous session to 4 million1950 won at the close. Kakao shares had previously fallen as the risk of a strike came into focus after negotiations between labor and management over performance bonuses broke down. Later, as bargain-hunting buying flowed in, 29 it closed higher. That trend fluctuated depending on the company's progress in negotiations and market buying sentiment.
Compared with the start of the year, Naver’s share price5.26% lower. On the same basis, Kakao’s share price32.45% lower. These figures show that the two companies’ share prices have followed different trajectories since the start of the year. Year-to-date figures are a metric investors use when comparing annual performance.
Securities analysts said that both companies need to demonstrate the profitability of their AI-related businesses. The market outlook is that AI-related items will draw attention in future announcements of partnerships and earnings. This report is a fact-based summary of31 trading-close figures and securities analysts’ views. Share prices could fluctuate anew depending on further disclosures and the timing of earnings announcements.
Sources: 파이낸셜뉴스 증권
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