Hanwha Life, Hyundai Steel, Lotte Shopping among 151 firms flagged for persistently low valuations
Hanwha Life Insurance, Hyundai Steel and Lotte Shopping are among 151 companies publicly flagged by the Korea Exchange for their persistently low valuations. The bourse operator revealed the list Sunday in an unprecedented move aimed at pushing listed firms to improve their corporate value. The initiative targets companies that have consistently traded at low price-to-book ratios (PBRs) while…
The Korea Exchange has publicly flagged 151 companies, including Hanwha Life Insurance, Hyundai Steel, and Lotte Shopping, for their persistently low valuations. The disclosure aims to encourage these firms to improve their corporate value, which has been consistently trading at low price-to-book ratios (PBRs) without significant returns to shareholders.
The list includes 96 KOSPI-listed companies and 55 Kosdaq-listed firms that rank in the bottom 25 percent and 10 percent of their markets, respectively, based on PBR over the past three years. PBR is a measure of a company's market capitalization relative to its net assets, indicating how much investors are willing to pay for each unit of book value.
A ratio below 1 suggests that the company is valued at less than its net assets, potentially reflecting concerns about its growth prospects or operational efficiency.
Brief written by urgent.news from The Korea Times's own syndicated text. Machine-written — may contain errors; check the original before relying on it.
