In today’s briefing:
- My Take on the Three Scenarios that Sammy Buyback Stirred up in the Market Today
- KRX Value-Up Special Rebalance in December: Playbook & Screening Rundown
- Korea Value Up Index Rebalance on 20 December
My Take on the Three Scenarios that Sammy Buyback Stirred up in the Market Today
- The market’s reaction to Samsung Fire’s stake sale seems overhyped. Given past share sales, Life may outperform Fire as this momentum unfolds.
- I don’t see SDS merging with Samsung Electronics. It lacks synergy and could stir up PR issues. If Sammy’s stock stalls, Lee Jae-yong might sell more of his SDS stake.
- I’m still bullish on Sammy prefs. If the tax reform passes, a special dividend, not a buyback, will be the cleanest way for Samsung to address inheritance tax.
KRX Value-Up Special Rebalance in December: Playbook & Screening Rundown
- Since Sep 24, 32 companies made Value-Up disclosures. After filtering, 17 remain, but KRX will keep inclusions tight. They’ll likely use PBR and ROE rankings for final selection.
- We have 6 names—3 financials, 2 healthcare, 1 industrial. New Value-Up disclosures through Dec 6 could add more, but these 6 are the frontrunners for now.
- KRX is likely to announce results by Dec 10-11. Start eyeing entry points 10 days prior, and if price action heats up early, consider pulling the trigger sooner.
Korea Value Up Index Rebalance on 20 December
- Korea Exchange (KRX) plans to make special changes to the Korea Value-Up Index constituents on 20 December.
- We believe that following five stocks are likely inclusions in the Korea Value Up index rebalance on 20 December (KB Financial, Hana Financial, SK Telecom, KT Corp, and LG Electronics).
- The new companies that will be included in the Korea Value-Up Index include companies that provide detailed corporate value up plans by 6 December.
💡 Before it’s here, it’s on Smartkarma
Sign Up for Free
The Smartkarma Preview Pass is your entry to the Independent Investment Research Network
- ✓ Unlimited Research Summaries
- ✓ Personalised Alerts
- ✓ Custom Watchlists
- ✓ Company Data and News
- ✓ Events & Webinars
