SEOUL, KOREA - A stock analyst said the operating profit ratio of Hyundai Steel would rise by 2.9 percentage points in 2014 from this year.

 

 

Park Hyun-Wook, analyst with HMC Investment & Securities, said on December 16 that the steel maker's 2014 operating profit would be 1,478 billion won, up 90 percent from this year's estimate of 777 billion won. Its operating profit ratio would accordingly rise to 8.6 percent from this year's 5.7 percent.

 

The analyst attributed this to the recent acquisition of the cold-rolled plate unit from Hyundai Hysco, whose integration would be made official at the year's end, and the ramp-up of its third blast furnace.

 

Mirae Asset Securities also released a positive opinion on Hyundai Steel. Mirae Asset Securities analyst Kwon Hae-soon said, "[Hyundai Steel's] entrance in the cold-rolled plate business and the kickoff of its third blast furnace will ultimately raise its productivity" and upgraded its target price to 100,000 won from the current 81,000 won.