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[Alpha Biz=(Chicago) Reporter Paul Lee] Securities firms lowered the target stock price of E-Mart, which posted operating losses for the first time in history.
On the 16th, NH Investment & Securities lowered its target price for E-Mart from 100,000 won to 80,000 won. Daishin Securities, Shinhan Investment & Securities and Hanwha Investment & Securities also lowered their target stock prices to 80,000 won, 86,000 won and 77,000 won, respectively. These securities firms also changed their investment opinions from 'buy' to 'neutral'. Following a series of adjustments by securities firms, E-Mart shares closed at 76,000 won, down 2.56 percent from the previous day.
The stock market's harsh criticism came after E-Mart announced its fourth-quarter earnings the previous day. E-Mart turned into a deficit with an operating loss of 46.9 billion won last year. The annual deficit is the first since the establishment of E-Mart in 2011.
This is due to the poor performance of its subsidiary Shinsegae Engineering & Construction and the sluggish distribution industry.
Alphabiz Reporter Paul Lee(hoondork1977@alphabiz.co.kr)
