Stock Analysis

Exploring These 3 High Growth Tech Stocks In South Korea

KOSDAQ:A214450
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The South Korea stock market has faced a challenging period, finishing lower in seven consecutive sessions and shedding over 170 points or 6.4 percent. Despite this downturn, optimism regarding interest rates has provided a positive global forecast for Asian markets, leading to expectations of support for the KOSPI index. In light of these market conditions, identifying high-growth tech stocks that demonstrate resilience and potential for recovery is crucial for investors looking to capitalize on opportunities within South Korea's dynamic technology sector.

Top 10 High Growth Tech Companies In South Korea

NameRevenue GrowthEarnings GrowthGrowth Rating
Seojin SystemLtd33.61%52.05%★★★★★★
IMLtd21.80%111.43%★★★★★★
Bioneer23.53%97.58%★★★★★★
FLITTO32.60%106.82%★★★★★★
NEXON Games29.64%66.98%★★★★★★
Park Systems23.64%35.66%★★★★★★
ALTEOGEN64.22%99.46%★★★★★★
Devsisters29.08%63.02%★★★★★★
AmosenseLtd24.04%71.97%★★★★★★
UTI114.97%134.61%★★★★★★

Click here to see the full list of 49 stocks from our KRX High Growth Tech and AI Stocks screener.

Let's dive into some prime choices out of from the screener.

PharmaResearch (KOSDAQ:A214450)

Simply Wall St Growth Rating: ★★★★★☆

Overview: PharmaResearch Co., Ltd., along with its subsidiaries, operates as a biopharmaceutical company primarily in South Korea, with a market cap of ₩1.91 billion.

Operations: PharmaResearch Co., Ltd. generates revenue primarily from its pharmaceuticals segment, which accounted for ₩296.59 billion. The company focuses on biopharmaceutical products and operates mainly in South Korea.

PharmaResearch's earnings growth of 63.2% over the past year significantly outpaced the Biotechs industry average of 6.1%, highlighting its robust performance. The company's revenue is forecast to grow at an impressive 22.1% per year, surpassing the South Korean market's expected growth of 10.3%. With a focus on innovative biotech solutions, PharmaResearch has allocated substantial resources to R&D, reflecting in their $100M expenditure last year, which supports future advancements and sustained growth potential.

KOSDAQ:A214450 Revenue and Expenses Breakdown as at Sep 2024
KOSDAQ:A214450 Revenue and Expenses Breakdown as at Sep 2024

Lunit (KOSDAQ:A328130)

Simply Wall St Growth Rating: ★★★★★☆

Overview: Lunit Inc. develops and provides AI-based software solutions for cancer screening, diagnosis, and treatment, with a market cap of ₩1.21 trillion.

Operations: Lunit Inc. generates revenue primarily from its healthcare software segment, which reported ₩26.03 billion in sales. The company focuses on AI-driven solutions for cancer-related applications.

Lunit's AI-powered chest X-ray analysis software, Lunit INSIGHT CXR, has achieved a significant milestone with an AUC of 0.902 in TB detection, as reported by The Lancet Digital Health. The company's revenue is forecast to grow at an impressive 51.8% per year, far outpacing the South Korean market's expected growth of 10.3%. With earnings projected to increase by 104.9% annually and substantial R&D investments supporting advancements like Lunit INSIGHT CXR, the company is well-positioned for future growth in the healthcare IT sector.

KOSDAQ:A328130 Earnings and Revenue Growth as at Sep 2024
KOSDAQ:A328130 Earnings and Revenue Growth as at Sep 2024

HYBE (KOSE:A352820)

Simply Wall St Growth Rating: ★★★★☆☆

Overview: HYBE Co., Ltd. engages in music production, publishing, and artist development and management businesses with a market cap of ₩7.24 billion.

Operations: The company generates revenue primarily from its Label and Solution segments, with the Label segment contributing ₩1.28 trillion and the Solution segment adding ₩1.24 trillion. The Platform segment also adds to the revenue with ₩361.12 billion.

HYBE's revenue is expected to grow at 14.1% per year, outpacing the South Korean market's 10.3% growth rate. The company projects earnings growth of 42.5% annually over the next three years, signaling robust profitability prospects despite a significant one-off loss of ₩189.4B in the last fiscal year ending June 30, 2024. Notably, HYBE has announced a share repurchase program for up to 150,000 shares aimed at stabilizing stock prices by September 27, 2024.

KOSE:A352820 Earnings and Revenue Growth as at Sep 2024
KOSE:A352820 Earnings and Revenue Growth as at Sep 2024

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

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