Merrill Ups Samsung Elec 12-Mo Target To KRW910,000
“Cyclical downturn and seasonal volatility are no longer discount factors when valuing SEC (Samsung). Rather SEC deserves a valuation premium over its global peers…” Merrill said.
The firm also remained upbeat about Samsung’s earnings growth momentum, noting that the memory-chip maker is expected to generate more than KRW2.5 trillion in operating profit every quarter after the fourth quarter of 2005, through 2006 and 2007.
“This clearly suggests no downside risks to the company’s earnings during low seasons” such as the first quarter of 2006.
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