Shinhan Group Symbol(source: shfg.co.kr)
NH Investment & Securities raised its target price for Shinhan Financial Group (055550) from 73,000 won to 87,000 won on July 7, citing expectations that the company will announce a 500 billion won share buyback and cancellation plan during its upcoming earnings release this month.
Shinhan Financial Group closed at 63,000 won in the previous session on July 4.
In a report published the same day, analyst Jeong Jun-seop stated, “Supported by a favorable KRW/USD exchange rate and stable earnings in the second quarter, the company’s Common Equity Tier 1 (CET1) ratio is expected to rise from 13.27% at the end of March to between 13.4% and 13.5% by the end of June. This would comfortably exceed the company’s stated target of 13.1%.”
He added, “Given this strong capital position, we expect the scale of the share buyback and cancellation to exceed our previous forecast of 350 billion won.”
Jeong further noted, “If the expected buyback and cancellation are executed, the company’s annual total shareholder return could reach 45.5%, surpassing last year’s level of 40.2% and the company’s 2025 value-up guidance of 42~43%.”
He concluded, “Despite the recent rise in the stock price, the company’s price-to-book ratio (PBR) remains low at 0.57x. Continued share repurchases at levels below 1.0x PBR are expected to enhance book value per share (BPS), further compress the PBR, and enhance overall valuation attractiveness.”
*[KOSPI] Shinhan Financial Group(055550) is a financial holding company that provides various financial services including banking, credit cards, financial investment, life insurance, asset management, specialized lending, and savings banks. The market capitalization is 31.238 trillion won (as of July 4, 2025, closing price).
Shinhan Group Symbol(source: shfg.co.kr)
NH Investment & Securities raised its target price for Shinhan Financial Group (055550) from 73,000 won to 87,000 won on July 7, citing expectations that the company will announce a 500 billion won share buyback and cancellation plan during its upcoming earnings release this month.
Shinhan Financial Group closed at 63,000 won in the previous session on July 4.
In a report published the same day, analyst Jeong Jun-seop stated, “Supported by a favorable KRW/USD exchange rate and stable earnings in the second quarter, the company’s Common Equity Tier 1 (CET1) ratio is expected to rise from 13.27% at the end of March to between 13.4% and 13.5% by the end of June. This would comfortably exceed the company’s stated target of 13.1%.”
He added, “Given this strong capital position, we expect the scale of the share buyback and cancellation to exceed our previous forecast of 350 billion won.”
Jeong further noted, “If the expected buyback and cancellation are executed, the company’s annual total shareholder return could reach 45.5%, surpassing last year’s level of 40.2% and the company’s 2025 value-up guidance of 42~43%.”
He concluded, “Despite the recent rise in the stock price, the company’s price-to-book ratio (PBR) remains low at 0.57x. Continued share repurchases at levels below 1.0x PBR are expected to enhance book value per share (BPS), further compress the PBR, and enhance overall valuation attractiveness.”
*[KOSPI] Shinhan Financial Group(055550) is a financial holding company that provides various financial services including banking, credit cards, financial investment, life insurance, asset management, specialized lending, and savings banks. The market capitalization is 31.238 trillion won (as of July 4, 2025, closing price).