As the new government's policy direction aligns, there are evaluations that Naver will benefit in various ways, leading to a surge in its stock prices.
Naver's stock was traded at 258,000 won at 9:05 a.m. on the 19th. The stock price rose by 5.95% (14,500 won) compared to the previous day. After jumping 17.92% (37,000 won) the day before, it continued to rise, reaching its highest price since August 2022.
Global investment banks (IB) have continuously given positive evaluations of Naver. Citi Securities identified Naver as the top preferred stock among Korean internet platform corporations and raised its target price from 270,000 won to 300,000 won.
Citi Securities assessed that if consumer sentiment revives due to the formation of the second supplementary budget, it will also positively impact the advertising and e-commerce institutional sector. It evaluated that expansions in artificial intelligence (AI) investments, tax deductions for digital content including webtoons, and governance reforms are all points of benefit for Naver.
JP Morgan also raised its target price for Naver from 250,000 won to 270,000 won the day before. JP Morgan also projected that Naver's business could gain momentum from the new government's AI policy.
Although Naver's stock price has risen sharply, there are still a considerable number of investors in the loss range. The average purchase price of 65,821 Naver shareholders linked to the Naver Pay "my asset" service is 264,900 won. Among them, the top 20% have an average purchase price of over 443,700 won.