Corporate Logo(source: hanwhacorp.co.kr)
SK Securities stated on July 3 that Hanwha (000880) is expected to post a significant earnings rebound in the second half of this year. While the stock has risen sharply in recent months, it remains undervalued. The firm maintained its “Buy” rating and raised the target price to 115,000 won from 95,800 won.
The brokerage forecast that Hanwha will see a full-fledged improvement in earnings beginning in the second half. Analyst Choi Gwan-soon noted, “Revenue growth at major subsidiaries is likely to expand brand royalty income, and improved cost efficiency in the construction division is expected to drive standalone profit growth.” He added that these factors will support mid- to long-term shareholder returns.
Annual operating profit is also projected to improve across key subsidiaries such as Hanwha Aerospace and Hanwha Solutions.
Hanwha’s share price has surged 256.1% year-to-date, marking the highest increase among major holding companies.
Choi explained, “The rally in Hanwha’s stock is primarily driven by rising share prices of subsidiaries, improvements in standalone earnings, and investor expectations for a revaluation of holding companies following the proposed amendment to the Commercial Act.” He added, “With the expected reduction in the valuation discount for the holding company sector, market attention is likely to increase on Hanwha, which offers attractive valuation metrics.”
“Despite the sharp rise in the short term, Hanwha’s current valuation remains low,” he continued. “The stock is trading at a price-to-book ratio (PBR) of 0.8, with a 56.9% discount to its net asset value (NAV). Given growing expectations surrounding the Commercial Act revision, holding companies with attractive valuations such as Hanwha are well-positioned for further upside.”
*[KOSPI] Hanwha(000880) serves as a holding company for the Hanwha Group and holds shares in affiliates such as Hanwha Life, Hanwha Aerospace, and Hanwha Chemical, and its own businesses include gunpowder/defense/machinery/trading. Market capitalization is 7.18 trillion won (as of July 2, 2025, closing price).
Corporate Logo(source: hanwhacorp.co.kr)
SK Securities stated on July 3 that Hanwha (000880) is expected to post a significant earnings rebound in the second half of this year. While the stock has risen sharply in recent months, it remains undervalued. The firm maintained its “Buy” rating and raised the target price to 115,000 won from 95,800 won.
The brokerage forecast that Hanwha will see a full-fledged improvement in earnings beginning in the second half. Analyst Choi Gwan-soon noted, “Revenue growth at major subsidiaries is likely to expand brand royalty income, and improved cost efficiency in the construction division is expected to drive standalone profit growth.” He added that these factors will support mid- to long-term shareholder returns.
Annual operating profit is also projected to improve across key subsidiaries such as Hanwha Aerospace and Hanwha Solutions.
Hanwha’s share price has surged 256.1% year-to-date, marking the highest increase among major holding companies.
Choi explained, “The rally in Hanwha’s stock is primarily driven by rising share prices of subsidiaries, improvements in standalone earnings, and investor expectations for a revaluation of holding companies following the proposed amendment to the Commercial Act.” He added, “With the expected reduction in the valuation discount for the holding company sector, market attention is likely to increase on Hanwha, which offers attractive valuation metrics.”
“Despite the sharp rise in the short term, Hanwha’s current valuation remains low,” he continued. “The stock is trading at a price-to-book ratio (PBR) of 0.8, with a 56.9% discount to its net asset value (NAV). Given growing expectations surrounding the Commercial Act revision, holding companies with attractive valuations such as Hanwha are well-positioned for further upside.”
*[KOSPI] Hanwha(000880) serves as a holding company for the Hanwha Group and holds shares in affiliates such as Hanwha Life, Hanwha Aerospace, and Hanwha Chemical, and its own businesses include gunpowder/defense/machinery/trading. Market capitalization is 7.18 trillion won (as of July 2, 2025, closing price).