Kumho E&C Expected to Benefit from Public Housing Expansion, Says Hyundai Motor Securities

Kumho E&C is poised to benefit from the ongoing expansion of public housing initiatives, according to a new analysis by Hyundai Motor Securities. The firm has reaffirmed its 'Buy' rating for the construction company, setting a target price of 5700 won, significantly above its previous day's closing price of 4015 won.

The securities firm anticipates that Kumho E&C will continue to see increased orders and revenue growth, driven primarily by its involvement in public housing projects. This strategic focus is expected to provide a steady stream of business and contribute to the company's financial performance.

In the first quarter, Kumho E&C reported consolidated revenue of 453.4 billion won and an operating profit of 12.1 billion won. While revenue saw a marginal 3.1% decrease compared to the same period last year, operating profit experienced a notable increase of 112%, indicating improved efficiency and profitability.