[Edaily Reporter kyoungeun kim ] As the Korea Exchange (KRX) released its first-ever list of 151 listed companies with low price-to-book ratios (PBR), the stock prices of these companies are showing strength in early trading on the 2nd. This is interpreted as reflecting growing interest in undervalued companies and expectations that efforts to enhance corporate value may expand in the future.

According to MP Doctor, as of 9:48 a.m. today, HYUNDAI STEEL(004020)is trading at 29,150 won, up 3,300 won (+12.77%) from the previous trading day. E-MART Co., Ltd.(139480)(+4.92%), LOTTE SHOPPING CO., LTD.(023530)(+3.79%), and HANWHA LIFE INSURANCE(088350)(+1.70%) are also on the rise.

Starting today, a total of 151 companies—including 96 from the KOSPI market and 55 from the KOSDAQ market—are being designated as having low PBRs. The Korea Exchange (KRX) selected and disclosed 151 listed companies whose PBRs have remained low within their respective sectors over the past three years. This measure is intended to encourage these companies, which have long been undervalued relative to their asset value, to voluntarily improve their corporate value.

It is believed that buying pressure has surged as the Korea Exchange released the list of undervalued companies and displayed it on securities firms’ trading screens, raising expectations that these companies will expand shareholder returns and enhance their corporate value.

PBR is a metric calculated by dividing the stock price by net asset value per share. A PBR of less than 1 indicates that a company’s stock price is valued below its book value. The average PBR of the 151 companies disclosed this time is approximately 0.25, significantly below the average of approximately 1.8 for domestic listed companies.