Nomura: Korean stock sell-off appears excessive

on November 6, an analyst team led by Cindy Park at Nomura Securities stated that the KOSPI index appears to be oversold. Analysts noted in a research report that while global equity markets have been weighed down by rising interest rates, elevated oil prices, and other risk factors, the South Korean stock market has declined more than other major global markets. Since August, the index has fallen 18% and is currently hovering near 5,400.

Nomura Securities has set a three-month target range of 7,500 to 8,000 for the KOSPI index to reflect macroeconomic and AI-related risks, while maintaining its long-term target of 10,000. Analysts also indicated that increased AI investment, expanded share buybacks, and market reforms aimed at enhancing corporate value could all serve as catalysts to drive the South Korean stock market higher. (Jin10)