[Edaily Reporter Hyera Lee ] On the 10th, Hana Securities projected that expectations for the normalization of earnings and dividends for SKTelecom(017670)would rise following the release of its second-quarter results. The firm noted that the company is likely to be reevaluated as an artificial intelligence (AI) stock based on the performance of its Physical AI business, and maintained its “Buy” investment rating and target price of 140,000 won.

Kim Hong-sik, an analyst at Hana Securities, stated in a report released that day, “With solid earnings expected in the second quarter following the first quarter, expectations for achieving consolidated operating profit of 2 trillion won this year are likely to grow.”
Analyst Kim assessed, “As the company is delivering results in the Physical AI sector based on its proprietary AI foundation models, it is highly likely to emerge as a prominent AI-related stock,” adding, “The recent stock price correction has made the stock more attractively priced, and the current expected dividend yield of approximately 4% is also appealing.”
Hana Securities estimated that SKTelecom’s second-quarter consolidated operating profit would reach 567.8 billion won, a 68% increase year-over-year and a 6% increase quarter-over-quarter. The company is expected to post improved results compared to both last year—which was impacted by a hacking incident—and the first quarter of this year.
The firm cited several factors behind this earnings improvement, including a recovery in 5G subscribers, increased mobile service revenue driven by SamsungElectronics promotions, stabilization of labor and other costs following workforce reductions, stagnation in marketing expenses related to subscriber acquisition, growth in business messaging revenue, and an expanded profit contribution from SK Broadband.
Analyst Kim stated, “We initially expected this year’s consolidated operating profit to be in the range of 1.9 trillion to 2 trillion won, and the earnings trend is unfolding as anticipated,” adding, “Optimistically, achieving an annual operating profit of 2 trillion won is possible, which will also raise expectations for expanded long-term shareholder returns.”
He continued, “The rise in the stock price during the first half was driven by the normalization of earnings and dividends, as well as a revaluation of the stock as a physical AI-related stock.” He added, “Although the stock price has fallen recently due to a correction in AI-related stocks, SKTelecom is highly likely to rebound resiliently when tech stocks recover. The current situation could present a buying opportunity.”