[STOCK WATCH] Young Poong up 2%

PUBLISHED : November 08, 2016 - 14:05

UPDATED : November 08, 2016 - 17:10

- Compared with industrial median, the Return comparison Volatility was rather positive

- All related stocks decline. Iron & Metal Products industry -0.36%

- Institutions and Individuals sell, Foreigners buy

- Turnover Rate low in spite of proper Price Range

- Institution 52.34%, Foreigners 23.97%

■ Market Review

As of Nov. 8 11:40 A.M., Young Poong (000670) increased 1.9% to 1,021,000 won (US$ 899.4). It had increased 2.2% through the past month. Standard deviation, the variableness index, was 1.7% on the same period over one month.

Compared with its close competitors within the same industry, KOSPI, the monthly earnings rate of Young Poong was the highest and its volatility within 1 month was considerably higher than that of its peer group. Over the recent month, the return-on-risk, the return on investment with consideration about risk, was 1.2. Though its volatility was high, the return-on-risk was good with higher return. Moreover, compared with the KOSPI industry, the return-on-risk is much better than the industrial mean, -4.0, and thus the industrial comparison performance was positive.

Comparing industry to the market, the KOSPI industry including Young Poong records lower volatility and earning rate than Iron & Metal Products. In other words, the industry was safer and the rate of decrease is smaller than that of the market.

Close Competitors	Earning rate (%)			STD (1Mo)	Return on Risk (1Mo)
Close Competitors	1 Mo	3 Mo	6 Mo	STD (1Mo)	Return on Risk (1Mo)
HYUNDAI STEEL(004020)	-1.2%	1.2%	-14.1%	2.1%	-0.5
YOUNGPOONG(000670)	2.2%	-9.1%	-1.2%	1.7%	1.2
POONGSAN(103140)	2.1%	7.6%	11.9%	1.7%	1.2
KOR ZINC(010130)	2.2%	-10.2%	-3.4%	1.6%	1.3
SEAH BESTEEL(001430)	-5.4%	-9.8%	-12.1%	1.6%	-3.3

Iron & Metal Products	2.5%	-2.2%	1.6%	1.3%	1.9
KOSPI	-2.8%	-3.0%	-0.1%	0.7%	-4.0

■ Earnings & Valuation

YOUNGPOONG(000670): 2Q(Apr ~ June) of 2016 Earnings (reported at Aug. 17. 2016)

	Revenue	Operating Income	Net Income
2Q of 2016	6,178.0 T	75.0 T	341.8 T
Previous Quarter	3.1% increase	turn to profit	26.9% increase
YoY	0.4% decline	665.7% increase	4.5% increase

Financial structure Overview

Compared with 4 close competitors with similar market capitalization within its industry, while Young Poong's P/E ratio, a price-paid ratio of annual net income, is at the highest level, its P/B ratio, a financial ratio of a company's book value, is a proper value.

P/E ratio and P/B ratio

Close Compatitors	ROE	PER	PBR	Basic Date
YOUNGPOONG(000670)	3.3	18.6	0.6	June 2016
SEAH BESTEEL(001430)	5.9	7.5	0.4	June 2016
KOR ZINC(010130)	9.6	17.4	1.7	June 2016
POONGSAN(103140)	7.5	11.7	0.9	June 2016
HYUNDAI STEEL(004020)	4.5	9.1	0.4	June 2016

■ Investor Group

Institutions and Individuals sell, Foreigners buy
Foreigners bought 556 shares, while institutions sold 1,029 shares. As a shareholding sum by investor group for the past 4 weeks, foreigners have bought 1,612 shares. However, during the same period, institutions have sold 1,486 shares with a selling trend and individuals have sold 126 shares in a lessening selling trend.

Turnover Rate low in spite of proper Price Range
Regarding the statistics for the past month on trade volume as the total outstanding shares, the daily turnover rate of Young Poong was 0.05%. If the turnover rate is quite low like this, it may be hard to trade due to its low degree of liquidity. Thus, one must pay attention in order to trade Young Poong. The daily volatility from bottom to top is 2.24% which is at a proper value.

Institution 52.34%, Foreigners 23.97%
As per the inquiry for shareholding by investor group, the major investor group is institutions with 52.34% from total outstanding shares. Foreigners and individuals each hold 23.97% and 23.68%. And as recent 5-day shareholding change by investor group, institutions is the major investor group with 61.86%. Foreigners hold 21.86% and individuals hold 16.26%.