The Korea Times close
National
  • Politics
  • Foreign Affairs
  • Multicultural Community
  • Defense
  • Environment & Animals
  • Law & Crime
  • Society
  • Health & Science
Business
  • Tech
  • Bio
  • Companies
Finance
  • Companies
  • Economy
  • Markets
  • Cryptocurrency
Opinion
  • Editorial
  • Columns
  • Thoughts of the Times
  • Cartoon
  • Today in History
  • Blogs
  • Tribune Service
  • Blondie & Garfield
  • Letter to President
  • Letter to the Editor
Lifestyle
  • Travel & Food
  • Trends
  • People & Events
  • Books
  • Around Town
  • Fortune Telling
Entertainment
& Arts
  • K-pop
  • Films
  • Shows & Dramas
  • Music
  • Theater & Others
Sports
World
  • SCMP
  • Asia
Video
  • Culture
  • People
  • News
Photos
  • Photo News
  • Darkroom
  • The Korea Times
  • search
  • Site Map
  • E-paper
  • Subscribe
  • Register
  • LogIn
search close
  • The Korea Times
  • search
  • Site Map
  • E-paper
  • Subscribe
  • Register
  • LogIn
search close
Finance
  • Companies
  • Economy
  • Markets
  • Cryptocurrency
Wed, August 17, 2022 | 01:33
Markets
'Living with COVID-19' to further boost travel and leisure stocks
Posted : 2021-09-28 08:37
Updated : 2021-09-28 16:02
Print Preview
Font Size Up
Font Size Down
gettyimagesbank
gettyimagesbank

By Anna J. Park

Despite their recent selling spree, major local institutional investors, including asset managers and pension funds, continue to net-purchase domestic stocks related to travel and leisure activities, as they expect the so-called "living with COVID-19" themed stocks to lead possible upward movement in the near future.

According to the Korea Exchange (KRX), local institutional investors turned to net-selling 3.46 trillion won ($2.93) worth of domestic stocks from September 1 to 24. Their most sold stocks were Samsung Electronics at 751 billion won, followed by Kakao Bank at 739 billion won, Kakao at 441 billion won and SK Bioscience at 304 billion won.

Their top pick net purchase during this period was Korean Air at 433 billion won. S-Oil and Hana Tour were two other highly net-purchased stocks at 117 billion won and 52 billion won, respectively.

Led by the strong buying power by the major investors, travel, leisure and retailer stocks continued their bullish moves this month.

Korea Air's share price rose 10.12 percent this month, while Asiana Airlines rose 17.2 percent. Hana Tour and Mode Tour stock prices also jumped 16.9 percent and 14.6 percent, respectively.

"The country's demand for international flights will gradually increase, as the safety of overseas travel will mostly be secured by the second quarter of next year," said Park Sung-bong, an analyst at Hana Financial Investment.

Oil refinery and gas distribution stocks, such as S-Oil and GS Holdings, also enjoyed recent upward moves, with increases in global oil prices.

"The demand for petroleum products is obviously improving in developed countries with high vaccination rates," Yoon Jae-sung, an analyst at Hana Financial Investment, pointed out. "The increase of vaccination rates in Asian countries will also lead to heightened demand for petroleum products," he added.

Distribution businesses such as retailers are another sector expected to see further growth in their share prices. Shinsegae saw its stock net-purchased by institutional investors to the tune of over 40 billion won, while Hyundai Department Store's shares also rose amid rosy forecasts.

Shinhan Financial Investment's latest report said now is the time for investors to focus on specific sectors and shares, as they're expected to be able to enjoy a rise in these shares.

"During the past month, local stocks related to travel and leisure logged an average increase of 8.4 percent, which is an exceedingly better performance than the market index increase rate ― at minus 0.4 percent for the KOSPI and 2.4 percent for the KOSDAQ." Noh Dong-kil, an analyst at Shinhan Financial Investment, stated in a report.

The analyst added the cosmetics, clothing, hotel and consumer goods sectors are expected to see a further boost in the near future, as these sectors haven't yet fully recovered from the pandemic shock.

"From the perspective of the recovery rate, most domestic sectors have recovered to the level of the pre-pandemic situation, while the mentioned industries have not," Noh said.


Emailannajpark@koreatimes.co.kr Article ListMore articles by this reporter
 
LG
  • Western, traditional Korean medicine doctors clash over terminology
  • 2 Buddhist monks assault solo protester
  • Korean builders desperate for foreign construction workers
  • Korea grapples with excess rice
  • Gates calls on Korea to play greater role in fight against COVID-19 pandemic
  • Instructors furious over scaling down of gugak in music teacher education
  • Ruling party chief accuses president of verbal abuse
  • Do Kwon says he will cooperate with investigation
  • HiteJinro headquarters occupied by unionized cargo truckers
  • Concerns grow over Korea's pension fund
  • Interactive News
  • With tough love,
  • 'Santa dogs' help rebuild burnt forests in Andong
  • 'Santa dogs' help rebuild burnt forests in Andong
  • A tale of natural wine
    • Girls' Generation music video director apologizes for copying design Girls' Generation music video director apologizes for copying design
    • Star directors' new series to A-listers' small screen comeback expected in coming weeks Star directors' new series to A-listers' small screen comeback expected in coming weeks
    • NewJeans sets record with debut album NewJeans sets record with debut album
    • 2PM's Lee Jun-ho proves versatility at 'Before Midnight' concert 2PM's Lee Jun-ho proves versatility at 'Before Midnight' concert
    • 'Confidential Assignment 2' has even more action, humor 'Confidential Assignment 2' has even more action, humor
    DARKROOM
    • Ice is melting, land is burning

      Ice is melting, land is burning

    • Tottenham 6-3 Team K League

      Tottenham 6-3 Team K League

    • Afghanistan earthquake killed more than 1,000

      Afghanistan earthquake killed more than 1,000

    • Divided America reacts to overturn of Roe vs. Wade

      Divided America reacts to overturn of Roe vs. Wade

    • Namaste: Yogis to celebrate International Yoga Day

      Namaste: Yogis to celebrate International Yoga Day

    The Korea Times
    CEO & Publisher : Oh Young-jin
    Digital News Email : webmaster@koreatimes.co.kr
    Tel : 02-724-2114
    Online newspaper registration No : 서울,아52844
    Date of registration : 2020.02.05
    Masthead : The Korea Times
    Copyright © koreatimes.co.kr. All rights reserved.
    • About Us
    • Introduction
    • History
    • Location
    • Media Kit
    • Contact Us
    • Products & Service
    • Subscribe
    • E-paper
    • Mobile Service
    • RSS Service
    • Content Sales
    • Policy
    • Privacy Statement
    • Terms of Service
    • 고충처리인
    • Youth Protection Policy
    • Code of Ethics
    • Copyright Policy
    • Family Site
    • Hankook Ilbo
    • Dongwha Group