[Edaily Reporter Kim Kyung-eun] On the 16th, Korea Investment & Securities suggested that #Kolmar Korea presents a buying opportunity, noting that its valuation is at a historic low. The firm maintained its “Buy” rating and target price of 130,000 won.

Kim Myung-ju, an analyst at Korea Investment & Securities, stated in a report released that day, “Although Kolmar Korea’s current valuation is at a historic low, its earnings for this year are expected to reach an all-time high,” adding, “Even considering unfavorable supply and demand conditions in the market, it would be a great pity for Kolmar Korea to be overlooked.”

Korea Kolmar’s consolidated revenue for the second quarter of 2026 is expected to reach 825.9 billion won, with operating profit at 97.3 billion won, representing year-over-year increases of 13.0% and 32.4%, respectively. Operating profit is projected to exceed market expectations by 5.2%.

Revenue growth for the domestic subsidiary is projected to reach 23.5%, similar to the first quarter’s 25.0% year-over-year increase. As in the first quarter, sales from major clients are expected to remain strong, with operating profit projected to rise 32.7% year-over-year to 65.0 billion won, resulting in an operating margin of 16.0%.

Analyst Kim stated, “While it is difficult to predict ocean freight rates, they are likely to decline as uncertainties related to the Strait of Hormuz ease, which is positive for the cosmetics sector, a major exporter.” He added, “Although the cosmetics industry’s business conditions remain strong and macroeconomic uncertainties are easing, the sector’s stock prices have been disappointing.” He analyzed, “This is because, amid a lack of new catalysts within the sector, there was an extreme concentration of supply and demand toward leading sectors in the market.”

He emphasized, “Although prices for raw materials and components rose due to factors such as the U.S.-Iran conflict, it is estimated that Kolmar Korea successfully raised its selling prices,” adding, “While it is true that there are no new catalysts within the sector, the sector’s earnings can still improve sufficiently through the expansion of U.S. brand companies into offline distribution channels and regional expansion into Europe and other markets.”