[Edaily Reporter Kim Hyung-il ] SKSecurities analyzed that SK(034730)warrants a revaluation of its corporate value based on SK Eco Plant’s improved earnings, as well as shareholder returns such as the cancellation of treasury shares and special dividends. The firm maintained its “Buy” rating and target price of 800,000 won.

On the 31st, Choi Kwan-soon, an analyst at SKSecurities, stated, “Starting in the second half of the year, the high-tech business is expected to drive SK Eco Plant’s earnings improvement based on orders from SK hynix,” adding, “A reassessment of the company’s value is needed in light of the earnings improvement and shareholder returns.”

SK Eco Plant recorded consolidated revenue of 10 trillion won and operating profit of 1.465 trillion won in the first half of this year. Compared to the same period last year, revenue increased by 82.8% and operating profit by 584.1%. Revenue in the High-Tech segment rose 53.7%, the Gas & Materials segment grew 139.5%, and the Asset Lifecycle segment surged 239.2%, with all business segments—except for the Solutions segment (-2%)—showing growth.

In particular, the Asset Lifecycle segment—which includes semiconductor module manufacturing and recycling operations—led the earnings growth. SK Eco Plant is expanding its business with a focus on the AI and semiconductor value chain, including semiconductor fabs, AI data centers, and materials.

SKSecurities estimated SK EcoPlant’s order backlog at the end of the second quarter to be 25.4 trillion won. Of this, the backlog from SK hynix orders stood at 9.4 trillion won, and the firm projected that the high-tech sector would drive earnings improvement starting in the second half of the year.

SKSecurities projected that SK’s consolidated operating profit this year would reach 13.4 trillion won, a 638% increase year-over-year.

The firm also highlighted the potential for expanded shareholder returns. SK plans to retire 4.8 trillion won (20.3%) of its 24.8% treasury stock holdings in January 2027. SKSecurities assessed that, given the market’s heightened expectations for shareholder returns following the large-scale shareholder returns by SamsungElectronics and SK hynix, SK’s treasury stock retirement is at a level commensurate with these expectations.

The firm also viewed positively the potential for reduced financial burdens related to treasury stock cancellations under the tax reform plan. However, this outlook is contingent on the tax reform plan being finalized as originally proposed.

SK has a shareholder return policy that involves using proceeds from asset sales to repurchase and cancel treasury stock equivalent to 1–2% of its market capitalization or to pay additional dividends. On July 31, SK decided to sell its 70.6% stake in SK Siltron for 2.3 trillion won.

Assuming a minimum dividend per share (DPS) of 5,000 won for SK, Analyst Choi projected that if 1% of the market capitalization were paid out as dividends, the year-end DPS for 2026 would exceed 10,000 won, excluding the interim dividend of 1,500 won.

Analyst Choi stated, “SK’s current stock price is significantly undervalued, with a discount of 53.5% relative to its net asset value (NAV) and a 12-month forward price-to-book ratio (PBR) of 0.64 based on consensus estimates,” and “If the tax reform bill is finalized as originally proposed, the financial burden associated with the cancellation of treasury stock is expected to ease, and a special dividend is also likely, necessitating a reassessment of earnings improvements and shareholder returns,” he said.