South Korea Stocks: Daewoo Engineering, Kumho Investment, Victek
The Kospi Index (KOSPI) fell 0.1 percent to 1,972.63, the lowest level since Feb. 3.
Defense-related companies: Victek Co. (065450) (065450 KS), a maker of electronic warfare equipment, rallied by the daily limit of 15 percent to 3,045 won. Speco Co. (013810) (013810 KS) added 13 percent to 3,205 won, while Huneed Technologies (005870) (005870 KS), which makes military communications equipment, rose 5.9 percent to 3,950 won. North Korea’s military plans to take “special action” soon against the administration of South Korean President Lee Myung Bak, the official Korean Central News Agency said in a statement today.
Daewoo Engineering & Construction Co. (047040) (047040 KS) retreated 4.4 percent to 9,800 won, the steepest drop since Dec. 19, after reporting a 38 percent loss in first-quarter operating profit. Hana Daetoo Securities Co. cut its share-price estimate to 10,600 won from 11,350 won.
Other builders also declined, with Hyundai Engineering & Construction Co. (000720 KS) falling 2.3 percent to 72,500 won and Samsung C&T Corp. (000830) (000830 KS) losing 3.3 percent to 74,100 won.
Kumho Investment Bank (010050) (010050 KS) rallied by the daily limit of 15 percent to 779 won. Korea Exchange Inc. requested Korea Investment Holdings Co. (071050 KS) comment on a report that it will bid for Kumho Investment. Korea Investment gained 0.6 percent to 42,750 won.
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