[EQUITIES] Shinhan Investment forecasts 8.9% decline in Hotel Shilla’s Q2 earnings

[THE INVESTOR] Shinhan Investment on July 12 slashed its target price on Hotel Shilla shares to 85,000 won (US$73.80) from 90,000 won on its declining operating profit.Hotel Shilla’s second quarter operating profit is expected to fall 8.9 percent on-year to 26.80 billion won, the brokerage said. Shinhan’s projections are below the current market consensus of 3.32 billion won. “The company’s downtown duty-free shop is expected to post a 25.5 percent increase in sales, but its airport outlet is se

July 12, 2016

Foreign investors scoop up software stocks on upbeat Q2 earnings outlook

[THE INVESTOR] As investors went into risk-aversion mode, software firms are increasingly becoming their safe havens due to low price volatility and analysts’ optimistic forecasts on their earnings. According to market analysis provider FnGuide, foreign investors scooped up 600.5 billion won (US$521 million) worth of local software shares since May this year. Leading the pack was Naver, South Korea’s No.1 Internet portal, with 425.3 billion won, followed by Com2uS at 112.5 billion won, Samsung S

July 12, 2016

Korean Air issues W900b ABS

[THE INVESTOR] Korean Air Lines disclosed on July 11 that it has issued asset-backed securities to the value of 900 billion won (US$ 783 million). Korea Air’s latest ABS are backed by the company’s passenger fare income on domestic flights. The company had initially planned to issue ABS to the value of 700 billion won, but raised the figure to secure funds while interest rates are low, a Korean Air official told the local media. With the latest issuance, the company has issued ABS valued at 1.2

July 11, 2016