Exploring Three High Growth Tech Stocks In South Korea

Simply Wall St · 10/15 21:05

The South Korean market has remained flat over the last week, but it has seen a 3.8% rise over the past 12 months with earnings forecasted to grow by 30% annually. In this context, identifying high growth tech stocks that align with these promising earnings forecasts can be key for investors looking to capitalize on potential opportunities in this dynamic sector.

Top 10 High Growth Tech Companies In South Korea

Name Revenue Growth Earnings Growth Growth Rating
IMLtd 21.80% 111.43% ★★★★★★
Seojin SystemLtd 33.39% 49.13% ★★★★★★
Bioneer 23.53% 97.58% ★★★★★★
NEXON Games 29.64% 66.98% ★★★★★★
FLITTO 32.60% 106.82% ★★★★★★
ALTEOGEN 64.22% 99.46% ★★★★★★
Devsisters 29.08% 63.02% ★★★★★★
Park Systems 23.21% 34.63% ★★★★★★
AmosenseLtd 24.04% 71.97% ★★★★★★
UTI 114.97% 134.60% ★★★★★★

Click here to see the full list of 48 stocks from our KRX High Growth Tech and AI Stocks screener.

Let's uncover some gems from our specialized screener.

ALTEOGEN (KOSDAQ:A196170)

Simply Wall St Growth Rating: ★★★★★★

Overview: ALTEOGEN Inc. is a biotechnology company specializing in the development of long-acting biobetters, proprietary antibody-drug conjugates, and antibody biosimilars, with a market cap of ₩20.53 trillion.

Operations: The company generates revenue primarily from its biotechnology segment, amounting to ₩90.79 million. It focuses on developing innovative biopharmaceutical products, including long-acting biobetters and antibody-drug conjugates.

ALTEOGEN has positioned itself as a dynamic contender in South Korea's tech sector, despite its current lack of profitability. With revenue growth projected at an impressive 64.2% annually, the company is outpacing the broader KR market's growth rate of 10.4%. This surge is underpinned by substantial investments in R&D, which not only highlight ALTEOGEN’s commitment to innovation but also strategically align with anticipated industry demands. Furthermore, earnings are expected to skyrocket by 99.5% yearly, setting a robust foundation for future financial health and potentially high returns on equity estimated at 66.3% in three years' time. This aggressive growth trajectory underscores ALTEOGEN’s potential to reshape its sector and enhance shareholder value significantly.

KOSDAQ:A196170 Revenue and Expenses Breakdown as at Oct 2024
KOSDAQ:A196170 Revenue and Expenses Breakdown as at Oct 2024

ISU Petasys (KOSE:A007660)

Simply Wall St Growth Rating: ★★★★★☆

Overview: ISU Petasys Co., Ltd. is a global manufacturer and seller of printed circuit boards (PCBs) with a market capitalization of ₩2.70 trillion.

Operations: ISU Petasys generates revenue primarily from the manufacture and sale of printed circuit boards, amounting to approximately ₩743.88 billion.

ISU Petasys, a South Korean tech firm, is navigating a challenging landscape with its recent financial metrics and strategic decisions. Despite a revenue growth rate of 18.6% per year outpacing the broader South Korean market's 10.4%, the company's earnings have seen a downturn, contracting by 34.1% over the past year against an industry average decline of 3.3%. However, future projections are more optimistic, with earnings expected to surge by 44.4% annually. This growth is underpinned by significant R&D investments which amounted to substantial figures last year, aligning with ISU Petasys’s focus on innovation despite current profitability challenges. The company's profit margins have dipped from last year’s 12.6% to this year’s 7.5%, reflecting some operational difficulties that need addressing to harness the full potential of its aggressive growth strategy and R&D efforts.

KOSE:A007660 Revenue and Expenses Breakdown as at Oct 2024
KOSE:A007660 Revenue and Expenses Breakdown as at Oct 2024

Celltrion (KOSE:A068270)

Simply Wall St Growth Rating: ★★★★★☆

Overview: Celltrion, Inc., along with its subsidiaries, specializes in developing and producing protein-based drugs for oncology treatment in South Korea and has a market capitalization of ₩41.37 trillion.

Operations: Celltrion, Inc. generates revenue primarily from its Bio Medical Supply segment, which accounts for ₩3.54 trillion, and Chemical Drugs, contributing ₩507 billion. The company's focus on protein-based oncology drugs highlights its specialization in the pharmaceutical sector within South Korea.

Celltrion, a South Korean biotech firm, is demonstrating robust growth with projected annual revenue and earnings increases of 25.6% and 59.5%, respectively, outpacing the local market's expectations. This growth trajectory is supported by substantial investments in research and development (R&D), which have not only fueled innovation but also positioned the company as a leader in biosimilar medications. Recent strategic moves include significant product announcements and partnerships aimed at expanding global access to its biosimilars, enhancing Celltrion's footprint in lucrative markets. These developments underscore Celltrion’s commitment to maintaining a competitive edge through continuous innovation and strategic market expansions.

KOSE:A068270 Revenue and Expenses Breakdown as at Oct 2024
KOSE:A068270 Revenue and Expenses Breakdown as at Oct 2024

Taking Advantage

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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.