In a report released yesterday, Sun Jung Lee from Bank of America Securities maintained a Buy rating on KT, with a price target of $22.38.
Elevate Your Investing Strategy:
- Take advantage of TipRanks Premium at 50% off! Unlock powerful investing tools, advanced data, and expert analyst insights to help you invest with confidence.
Sun Jung Lee has given his Buy rating due to a combination of factors that balance the current challenges and future potential of KT. Despite the recent mobile payment fraud incident that affected KT users, Lee believes that the company’s proactive measures to address the breach, such as blocking abnormal payment attempts and restricting access to unknown base stations, demonstrate its commitment to security and customer protection. These actions, along with the ongoing investigation, are expected to mitigate the immediate negative impact on the company’s reputation and financial performance.
Furthermore, Sun Jung Lee highlights KT’s long-term growth potential, particularly its AI strategy, which is anticipated to drive future earnings. While there are uncertainties related to the CEO appointment process and potential regulatory measures, Lee is optimistic about KT’s ability to maintain shareholder returns, including dividends and buybacks, which are expected to yield competitive returns compared to industry averages. This combination of strategic initiatives and shareholder value propositions underpins the Buy rating, suggesting a positive outlook for KT’s stock in the medium to long term.
According to TipRanks, Jung Lee is ranked #4030 out of 9983 analysts.
In another report released on September 9, TR | OpenAI – 4o also reiterated a Buy rating on the stock with a $22.00 price target.