[Edaily Reporter Park Jung-Soo ] Norges Bank, which manages Norway’s sovereign wealth fund, has moved to expand its stake by purchasing additional shares of COSMAX, INC.(192820). This move is interpreted as a bet on the growth of K-Beauty, as the bank increased its stake even as the stock price underwent a sharp correction, recently hitting a 52-week low.

According to the Financial Supervisory Service’s electronic disclosure system on the 28th, Norges Bank disclosed that it holds 689,547 shares (6.08%) of COSMAX, INC. The purpose of the holding is purely for investment.
Norgenbank first acquired 568,570 shares (5.01%) of COSMAX, INC. last March, becoming a major shareholder. Since then, it has expanded its stake to the 6% range through on-market purchases.
The timing of the stake expansion coincided with a period of stock price correction. COSMAX, INC.’s stock price has continued to trend downward this year due to valuation pressures in the cosmetics sector and concerns over a short-term slowdown in earnings.
On the 26th, the stock fell to 141,000 won during trading, hitting a 52-week low. Compared to the 52-week high of 287,000 won recorded on June 25 of last year, this represents a correction of nearly 50%.
The market views Norges Bank’s move to increase its stake as a sign that the bank is placing greater emphasis on the potential for medium- to long-term earnings improvement rather than short-term stock prices.
COSMAX, INC. is considered a key beneficiary of the expansion of global indie brands and the growth in K-Beauty exports. Expectations for further gains are rising as domestic cosmetics exports continue to show robust growth.
Despite concerns about the cosmetics industry peaking in the first half of the year and the prolonged conflict in Iran, cosmetics exports by small and medium-sized enterprises (SMEs) from January to May reached $4.09 billion (approximately 6.18 trillion won), a 28.6% increase compared to the same period last year. In particular, cosmetics exports in April hit a record high of $1.01 billion (approximately 1.53 trillion won).
Furthermore, in addition to key cosmetics markets in North America and Asia, exports to Europe—including the United Kingdom and the Netherlands (up 61.1%)—and Central and South America—including Brazil (up 153.5%)—have also surged significantly, indicating a rapid diversification of export destinations.
Lee Ji-won, an analyst at HEUNGKUK METALTECH CO.,LTD., stated, “The growth momentum of K-Beauty exports is expected to remain robust in the second half of the year, particularly in the U.S. and Europe, contributing to increased orders and profit growth for ODM companies.” She added, “COSMAX, INC.’s consolidated revenue for 2026–2028 is projected to grow at an average annual rate of 15–18%, while operating profit is expected to grow by 17–24%.”
Analysts in the securities industry also note that the recent stock price correction has largely alleviated valuation concerns.
Park Jong-dae, an analyst at Hana Securities, commented, “The turnaround of the U.S. business and the stabilization of the China business are gaining momentum,” adding, “Considering the recovery in earnings momentum, the current price level presents an opportunity for value investing.”
Furthermore, COSMAX, INC. has momentum for expanding production capacity in the second half of the year, including the expansion of its Pyeongtaek, South Korea, plant (600 billion won in scale; adding a skincare line) and the launch of a new plant in Thailand (scheduled for September; expanding production capacity from 100 million to 230 million units).
Chemnova, an Italian ODM company acquired earlier this year, is expected to contribute an additional 15 billion won in annual revenue and facilitate expanded cross-selling between Korean and European clients once it is consolidated into the company’s financials.
Jeong Dong-hee, an analyst at SamsungSecurities, emphasized, “Although ODM companies’ stock prices have undergone a correction since the second quarter of last year as investment capital has shifted toward brand companies, COSMAX, INC. has maintained a solid earnings floor thanks to its position as the world’s leading ODM company and its diversified customer base.” He added, “Given that the current valuation is not overly burdensome, it could be an attractive investment alternative.”