00 005940.KS NH Investment & Securities Co., Ltd. Loading... : Bullish and Bearish Analyst Opinions

Korean securities companies benefit directly from the integrated foreign account system and surging trading volumes. Strong Q1 earnings (NH, Kiwoom, Mirae Asset) support the thesis. ETFs tracking the sector are a safer way to play the theme.

Korean securities firms like Samsung Securities, Kiwoom Securities, and NH Investment & Securities will benefit from rising foreign inflows, opening of foreign direct investment accounts, and the booming market driving brokerage revenues.

Foreign account opening (foreigners can directly trade Korean stocks) will expand brokerage revenues; major securities firms like Mirae Asset, Samsung Securities, Kiwoom, NH, and Meritz Financial are direct beneficiaries, with Meritz still lagging and offering catch-up potential.

Within the large-cap securities group, Kiwoom Securities, Samsung Securities, Korea Investment Holdings, and NH Investment & Securities trade at low P/E multiples of 7-8x, offering compelling valuation versus Mirae Asset Securities (18x P/E) which carries a SpaceX premium. The four firms also posted strong Q1 earnings (Kiwoom's operating profit +90% YoY) and their core brokerage revenue is growing. These stocks are attractive for dip-buying given their cheap valuations and structural earnings support.