Korea/Asia, Events, IPOs, Douglas Research Advisory

Douglas Kim

Nearly 30 years of experience in the Korean/Asian equity research. Major sectors coverage include the following:
- Technology 
- Consumer 
- Special Situations/Deep Value Plays
- Tender Offers/M&As
- Holdcos/Stubs
- Asian Unicorns/Private Companies

Korea/Asia, Events, IPOs

Trump Trade: Korean Construction Vs Military Stocks Amid Potential End of War in Ukraine?

MNC Solution IPO Book Building Results Analysis

A Comparison of KOSPI 200 and S&P 500 Companies Performances in 2024

GS E&Cㅣ Underground Parking Lot Collapse Incidentㅣ Full-Scale Reconstruction and Rising Risks

National Assembly 4 Year Cycles & Its Impact on Korean Construction Stocks

Evidenced Based Analysis of Real Residential Property Price Indices Vs Major Asian Stock Indices

Sambu Construction: Likely to Be Included in Ukraine Reconstruction Projects

Equity Bottom-Up

GS Engineering & Construction / Equity Bottom-Up

GS Engineering & Construction (006360 KS)

<ul>
<li>We argue that the top 20 listed construction companies in Korea are likely to underperform KOSPI in 2024 mainly due to the excessive risks in the housing/commercial real estate sectors.</li>
<li>We expect the share prices of these 20 domestic construction companies to fall by at least 15%-20%+ on average in the next 6-12 months. </li>
<li>On 2 January 2024, Financial Supervisory Service (FSS) announced that there will be new reporting requirements for PF loans of Korean construction companies starting 2023 annual reports.</li>
</ul>


We argue that the top 20 listed construction companies in Korea are likely to underperform KOSPI in 2024 mainly due to the excessive risks in the housing/commercial real estate sectors.
We expect the share prices of these 20 domestic construction companies to fall by at least 15%-20%+ on average in the next 6-12 months. 
On 2 January 2024, Financial Supervisory Service (FSS) announced that there will be new reporting requirements for PF loans of Korean construction companies starting 2023 annual reports.


Hyundai Engineering & Construction (000720 KS)

Daewoo Engineering & Construction (047040 KS)

Top 20 Korean Construction Companies: Off-Balance Sheet Contingent Liabilities To Drive Lower Prices