Hana Securities lowered Orion′s target price from 170,000 won to 140,000 won.

Hana Securities lowered Orion's target price from 170,000 won to 140,000 won.: COMPANY / Kim Minyoung / 2024-04-24 03:57:59

Orion headquarters (Photo = Orion)

[Alpha Biz= Reporter Kim Minyoung] Hana Securities lowered Orion's target price from 170,000 won to 140,000 won on the 24th.

"This is based on the adjustment of performance, valuation and estimates," Hana Securities said. "The current stock price has downward rigidity as concerns over the acquisition of 'LigaChem Bio' are being resolved."

Earlier this year, Pan Orion announced that it acquired a 25.7% stake in LigaChem Bio for about 540 billion won. LigaChem Bio is a place with technology related to ADC.

"Orion's stock price fell 20% in terms of limited synergy with the food industry and reduced short-term profit visibility," Hana Securities said. "There will be no additional capital input. Considering the equity ratio, Orion's performance will be reflected as profit or loss from the equity method."

Hana Securities said, "The mergers and acquisitions, which will be visible in the future, are expected to be compressed into companies that can create synergy with our main business. On this occasion, we have also expressed our willingness to return to shareholders. We will raise the consolidated dividend ratio from the current 10 percent to more than 20 percent over the next three years."