November 13, 2019 Korea Morning Focus

Company News & Analysis Major Indices Close Chg Chg (%) KOGAS (036460/Buy/TP: W60,000) KOSPI 2,140.92 16.83 0.79 Headwinds are beginning to ease KOSPI 200 283.65 2.80 1.00 KOSDAQ 665.14 3.77 0.57 ICD (040910/Buy/TP: W22,000) Raise TP 3Q19 review: Earnings surprise Turnover ('000 shares, Wbn) Volume Value (004170/Buy/TP: W360,000) KOSPI 601,779 5,744 3Q19 review: Department stores save the day KOSPI 200 64,287 2,637 KOSDAQ 1,064,995 4,618

Netmarble (251270/Buy/TP: W127,000) Market Cap (Wbn) Biding time Value KOSPI 1,436,297 KOSDAQ 235,619

KOSPI Turnover (Wbn) Buy Sell Net Foreign 1,113 1,152 -39 Institutional 937 952 -15 3,631 3,607 24

KOSDAQ Turnover (Wbn) Buy Sell Net Foreign 459 451 7 Institutional 214 175 39 Retail 3,917 3,960 -44

Program Buy / Sell (Wbn) Buy Sell Net KOSPI 1,130 1,151 -21 KOSDAQ 428 426 2

Advances & Declines Advances Declines Unchanged KOSPI 426 382 96 KOSDAQ 642 558 128

KOSPI Top 5 Most Active Stocks by Value (Wbn) Price (W) Chg (W) Value 6,580 750 587 AirBusan 9,320 2,150 485 Namsun Aluminum 4,965 -175 340 Electronics 52,600 1,000 318 Asiana IDT 30,550 1,150 318

KOSDAQ Top 5 Most Active Stocks by Value (Wbn) Price (W) Chg (W) Value HLB 142,200 2,800 225 CMG Pharm. 3,420 200 177 CUBE Ent. 4,820 -260 135 OSUNG Advanced 2,700 140 135 Materials Kukil Paper 5,770 220 117 Note: As of November 12, 2019

This document is a summary of a report prepared by Mirae Asset Daewoo Co., Ltd. (“Mirae Asset Daewoo”) and published on our website. Please review the compliance notices contained in the original report. Information and opinions contained herein have been compiled in good faith from sources deemed to be reliable. However, the information has not been independently verified. Mirae Asset Daewoo makes no guarantee, representation or warranty, express or implied, as to the fairness, accuracy or completeness of the information and opinions contained in this document. Mirae Asset Daewoo accepts no responsibility or liability whatsoever for any loss arising from the use of this document or its contents or otherwise arising in connection therewith. Information and opinions contained herein are subject to change without notice. This document is for informational purposes only. It is not and should not be construed as an offer or solicitation of an offer to purchase or sell any securities or other financial instruments. This document may not be reproduced, further distributed or published in whole or in part for any purpose.

KOGAS (036460 KS) Headwinds are beginning to ease

Utility 3Q19 review: Operating loss of W160bn, in line with consensus Results Comment For 3Q19, KOGAS announced revenue of W4.52tr (-4.4% YoY). Gas sales volume slipped November 13, 2019 4.3% YoY in city gas and 3.9% YoY in power generation, hurt by milder-than-usual weather and changes in the power generation mix. Revenue was further weighed down by an ASP fall (-6.0% YoY) in power generation-use gas due to lower oil prices. E&P revenue remained stagnant. (Maintain) Buy At the operating level, the company reported a loss of W160bn, in line with the consensus (loss of W161.7bn). While the company fell into the red due to seasonally Target Price (12M, W) 60,000 weak gas demand, we note that the operating loss decreased YoY (vs. loss of W172.2bn in 3Q18) as a result of the increased collection of supply costs following adjustments Share Price (11/12/19, W) 40,550 earlier in the year. E&P operating profit contracted 7.7% YoY to W56bn, affected by the Prelude project, which is in the early stages of production. Excluding this, we estimate Expected Return 48% E&P operating profit actually increased more than 20% YoY.

The company also recorded a net loss attributable to controlling interests of W226.5bn, mainly due to seasonality. On a YoY basis, net loss narrowed by W58.6bn. Parent net OP (19F, Wbn) 1,395 loss expanded YoY to W349.7bn (from a loss of W320.4bn in 3Q18), pressured by F/X- Consensus OP (19F, Wbn) 1,400 translation losses. EPS Growth (19F, %) 7.6 Headwinds are beginning to ease Market EPS Growth (19F, %) -32.0 P/E (19F, x) 6.8 1) E&P: We estimate the Australian Prelude project (which has been the biggest drag Market P/E (19F, x) 14.3 on overseas E&P earnings) recorded a loss of around W19bn in 3Q19. However, we KOSPI 2,140.92 expect the project to near breakeven in 4Q19 on the back of increased production. And given the ongoing profit growth of major projects, including the Myanmar gas field, Market Cap (Wbn) 3,743 Gladstone LNG, and Zubair, earnings momentum should strengthen in 4Q19. Shares Outstanding (mn) 92 Free Float (%) 45.0 2) F/X: A rise of 10 in the US$/W rate generally causes a W20bn decline in parent net Foreign Ownership (%) 12.7 profit, which serves as the basis for the company’s dividends. The recent easing of the Beta (12M) 0.75 won’s depreciation should lead to F/X-translation gains, reducing losses by more than 52-Week Low 37,150 half for the full year. 52-Week High 54,700 3) Power generation market: One of the main concerns surrounding KOGAS is its lack (%) 1M 6M 12M of price competitiveness in the power generation-use gas market. The price of KOGAS’s power generation gas supplies is believed to be more than 30% higher than those of Absolute 3.7 -1.3 -23.1 direct gas buyers. That said, we expect the gap to narrow, as spot gas prices have Relative -1.0 -2.9 -25.2 recently been picking up heading into the winter season. Once the individual pricing

120 KOGAS KOSPI system is fully implemented, we think KOGAS will be able to gradually restore its 110 market position. 100 90 Maintain Buy and TP of W60,000 80 We maintain Buy on KOGAS with a target price of W60,000. The stock is trading at a P/B 70 of 0.4x, weighed down by uncertainties related to E&P margins and won depreciation. 60 11.18 3.19 7.19 11.19 However, we believe stronger earnings momentum in 4Q19 and expectations on dividend hikes could set the stage for a rebound in share prices.

Mirae Asset Daewoo Co., Ltd.

[Transport/Energy] FY (Dec.) 12/16 12/17 12/18 12/19F 12/20F 12/21F Revenue (Wbn) 21,108 22,172 26,185 25,456 24,590 23,819 Jay JH Ryu +822-3774-1738 OP (Wbn) 998 1,035 1,277 1,395 1,455 1,472 [email protected] OP margin (%) 4.7 4.7 4.9 5.5 5.9 6.2 NP (Wbn) -613 -1,205 509 548 686 677 EPS (W) -6,641 -13,055 5,518 5,939 7,431 7,331 ROE (%) -6.3 -14.0 6.4 6.5 7.7 7.1 P/E (x) - - 8.7 6.8 5.5 5.5 P/B (x) 0.5 0.5 0.5 0.4 0.4 0.4 Dividend yield (%) 0.0 0.0 2.8 3.5 4.2 4.2 Note: All figures are based on consolidated K-IFRS; NP refers to net profit attributable to controlling interests Source: Company data, Mirae Asset Daewoo Research estimates

Analysts who prepared this report are registered as research analysts in Korea but not in any other jurisdiction, including the U.S. PLEASE SEE ANALYST CERTIFICATIONS AND IMPORTANT DISCLOSURES & DISCLAIMERS IN APPENDIX 1 AT THE END OF REPORT.

ICD (040910 KQ) 3Q19 review: Earnings surprise

Technology 3Q19 review: Earnings surprise Results Comment For 3Q19, ICD reported revenue of W31.3bn (+167.7% QoQ, -29.7% YoY) and operating November 13, 2019 profit of W8.2bn (turning to profit QoQ, +89.8% YoY). Revenue was in line with our estimate, but operating profit handily beat our expectation (W0.3bn), with an OP margin of 26.3%. The strong margins were driven by: 1) a higher mix of parts revenue and 2) won (Maintain) Buy depreciation against the dollar. We believe 3Q19 revenue was entirely from parts, including electrostatic chucks (ESC) and renovation/improvements, and we estimate Target Price (12M, W) ▲ 22,000 parts margins were over 25%. Deluge of purchase orders on the horizon; TOE capacity conversion to Share Price (11/12/19, W) 16,200 continue Expected Return 36% We see a large number of purchase orders through early 2020, including orders for: 1) Visionox’s two new lines (30,000 sheets/month; posted on China Bidding); 2) CSOT’s T4 line (25,000-30,000 sheets/month); 3) dry etchers for Samsung Display’s conversion to OP (19F, Wbn) 16 Y-OCTA; and 4) evaporators and dry etchers for Samsung Display’s QD-OLED. Consensus OP (19F, Wbn) 11 We also note ongoing investments in touch-on-encap (TOE) technology by global panel EPS Growth (19F, %) -52.8 makers. Apple is expected to adopt Y-OCTA panels for its iPhone next year, and LG Market EPS Growth (19F, %) -32.0 Display and Chinese panel makers are anticipated to convert to TOE technology and P/E (19F, x) 19.2 make related investments. Currently, we believe one of ICD’s dry etchers is being used Market P/E (19F, x) 14.3 for the Y-OCTA process. We estimate revenue to be around W8-9bn for every 15,000 KOSDAQ 665.14 sheets/month of incremental capacity.

Market Cap (Wbn) 278 For 2020, we forecast ICD to deliver revenue of W345.1bn (+136.4% YoY) and operating Shares Outstanding (mn) 17 profit of W53.8bn (+227.0% YoY). We expect robust margins to continue next year, Free Float (%) 67.4 supported by revenue recognition of supplies to Chinese companies (which have better Foreign Ownership (%) 10.1 margins than domestic supplies) and increasing parts revenue. Beta (12M) 1.33 Samsung Display likely to resume A5 investments in 2020 52-Week Low 6,600 52-Week High 16,300 We see a strong chance Samsung Display will resume investments in its A5 fab for mid/small-sized OLED in 2020, as we believe: 1) the panel maker needs foldable (%) 1M 6M 12M capacity of 60,000 sheets/month to address foldable market demand in 2022; and 2) Absolute 19.6 75.5 102.5 depreciation expenses on the company’s A3 lines will begin to end by the end of 2022, Relative 13.8 90.7 104.2 easing the burden of new investments. While the upcoming capex cycle may not be as significant as the one in 2016-17, we think new spending by Samsung Display would 220 ICD KOSDAQ increase visibility on revenue growth for 2021.

170 Still cheap; Raise TP to W22,000

120 We raise our target price on ICD to W22,000 (from W19,000), as we revised up our 2019-20 EPS estimates by 88% and 3%, respectively. Even based on only highly visible

70 purchase orders, we believe revenue will reach a new record in 2020. At a 2020F P/E of 11.18 3.19 7.19 11.19 6.6x and P/B of 1.4x, the stock still looks cheap.

Mirae Asset Daewoo Co., Ltd.

[ Display/Batteries] FY (Dec.) 12/16 12/17 12/18 12/19F 12/20F 12/21F Revenue (Wbn) 231 312 234 146 345 373 Chuljoong Kim +822-3774-1464 OP (Wbn) 16 37 40 16 54 58 [email protected] OP margin (%) 6.9 11.9 17.1 11.0 15.7 15.5

NP (Wbn) 10 24 30 14 42 44 EPS (W) 629 1,484 1,789 845 2,461 2,594 ROE (%) 10.2 19.8 22.5 10.4 25.7 21.7

P/E (x) 28.5 9.3 3.8 19.2 6.6 6.2 P/B (x) 2.5 1.7 0.8 1.8 1.4 1.2 Dividend yield (%) 0.6 1.1 2.2 0.9 0.9 0.9 Note: All figures are based on consolidated K-IFRS; NP refers to net profit attributable to controlling interests Source: Company data, Mirae Asset Daewoo Research estimates

Analysts who prepared this report are registered as research analysts in Korea but not in any other jurisdiction, including the U.S. PLEASE SEE ANALYST CERTIFICATIONS AND IMPORTANT DISCLOSURES & DISCLAIMERS IN APPENDIX 1 AT THE END OF REPORT.

Shinsegae (004170 KS) 3Q19 review: Department stores save the day

Retail 3Q19 review: Department stores save the day For 3Q19, Shinsegae announced consolidated revenue of W1.6tr (+17.3% YoY) and Results Comment operating profit of W95.9bn (+36.6% YoY). Operating profit handily beat our estimate November 13, 2019 and the consensus, driven by: 1) solid, above-consensus growth of department stores; and 2) operating leverage effects due to SG&A expense savings at the parent level. The duty-free store business was sluggish, but the impact was fully offset by department stores and other subsidiaries (Shinsegae International, , and Shinsegae). (Maintain) Buy Department stores: Non-consolidated operating profit expanded 7.9% YoY to W50.6bn, even though revenue declined on the closure of the Incheon location. Sales Target Price (12M, W) 360,000 growth was solid not only in luxury goods but also in other categories (sales were up in all categories except for food). Given 1) the polarization of consumption and 2) the trickle-down effects of luxury shopping, we expect Shinsegae to further widen its gap Share Price (11/12/19, W) 259,500 with competitors.

Expected Return 39% Duty free: Despite solid top-line growth, operating profit was sluggish at W10.7bn, due to intense competition. Since 1Q19, cost efficiency has continued to improve on the back of scale effects. As such, absent a repeat of the intense competition seen in 3Q19, we expect profits to recover in 4Q19. OP (19F, Wbn) 426 Consensus OP (19F, Wbn) 416 Risks and discount factors are overpriced While Shinsegae has continued to generate solid profits, the company’s stock has EPS Growth (19F, %) 233.0 struggled to recover, mainly because of: 1) uncertainties surrounding the duty-free Market EPS Growth (19F, %) -32.0 industry; and 2) the weakening competitiveness of the department store channel P/E (19F, x) 3.2 caused by the shift to online shopping. However, we believe such uncertainties are overblown, given: 1) Shinsegae DF’s stable top-line growth; and 2) the department Market P/E (19F, x) 14.3 store business’s superior growth compared to rivals. KOSPI 2,140.92 In the duty-free industry, downside risks to valuation include the potential acquisition Market Cap (Wbn) 2,555 of additional duty-free licenses by a competitor and the possibility of renewed Shares Outstanding (mn) 10 competition. However, we believe the value of Shinsegae’s duty-free business deserves to be priced in, given its continued solid growth. Free Float (%) 71.8 Foreign Ownership (%) 30.1 In addition, despite the overall slowdown of the department store market, Shinsegae’s Beta (12M) 1.32 department store business has maintained healthy growth of over 5%. Despite the ongoing shift to online shopping, we expect Shinsegae’s department store business to 52-Week Low 216,500 continue solid revenue growth and operating profit gains in 2020, backed by: 1) a 52-Week High 341,000 higher revenue exposure to luxury goods and the metropolitan region compared to rivals; and 2) the resulting trickle-down effects. (%) 1M 6M 12M Absolute 5.7 -19.2 2.0 Reiterate Buy and TP of W360,000 Relative 0.9 -20.4 -0.9 We reiterate our Buy call and target price of W360,000 on Shinsegae. While uncertainties surrounding the duty-free industry and the declining competitiveness of 150 Shinsegae KOSPI the department store channel are indeed discount factors, we think such risks are overpriced, given: 1) the value of Shinsegae DF; and 2) the robust earnings of the 130 department store business relative to the competition. The stock is currently trading at

110 a 2020F P/E of 10.6x, in line with the level seen in 2018, when duty-free losses began following the opening of the Incheon International Airport Terminal 1 store and 90 Gangnam store. Given the likelihood of operating profit improvements, we see upside potential to share prices. We also expect valuation to recover if duty-free uncertainties 70 are removed. 11.18 3.19 7.19 11.19

Mirae Asset Daewoo Co., Ltd.

[ Retail] FY (Dec.) 12/16 12/17 12/18 12/19F 12/20F 12/21F Revenue (Wbn) 2,947 3,871 5,186 6,381 6,818 7,054 Myoungjoo Kim +822-3774-1458 OP (Wbn) 251 346 397 426 478 512 [email protected] OP margin (%) 8.5 8.9 7.7 6.7 7.0 7.3

NP (Wbn) 227 182 239 796 241 283 EPS (W) 23,071 18,513 24,274 80,835 24,438 28,776 ROE (%) 7.3 5.5 6.9 20.0 5.2 5.9

P/E (x) 7.6 16.2 10.5 3.2 10.6 9.0 P/B (x) 0.5 0.9 0.7 0.6 0.5 0.5 Dividend yield (%) 0.7 0.4 0.8 0.8 0.8 0.8 Note: All figures are based on consolidated K-IFRS; NP refers to net profit attributable to controlling interests Source: Company data, Mirae Asset Daewoo Research estimates

Analysts who prepared this report are registered as research analysts in Korea but not in any other jurisdiction, including the U.S. PLEASE SEE ANALYST CERTIFICATIONS AND IMPORTANT DISCLOSURES & DISCLAIMERS IN APPENDIX 1 AT THE END OF REPORT.

Netmarble (251270 KS) Biding time

Game 3Q19 review: In line with our expectations Results Comment For 3Q19, Netmarble delivered revenue of W619.9bn (+17.9% YoY, +17.8% QoQ) and November 13, 2019 operating profit of W84.4bn (+25.4% YoY, +154.2% QoQ), which were in line with our expectations (W613bn and W86bn, respectively).

In 3Q19, overseas revenue mix increased 4%p QoQ to 68% due to the full recognition of Seven Deadly Sins. Marvel Contest of Champions, II: Revolution, and Seven (Maintain) Buy Deadly Sins each accounted for more than 10% of revenue, driving overall top-line growth. Target Price (12M, W) 127,000 Revenue from BTS World and King of Fighters ALLSTAR, which were released in 2Q19, was also recognized in 3Q19. Share Price (11/12/19, W) 92,700 Favorable comparison effects in 4Q19; New title releases to continue in 2020 Expected Return 37% We expect earnings to continue to improve in 4Q19, supported by a favorable YoY comparison in addition to new title effects. We project 4Q19 revenue of W657bn (+34.9% YoY) and operating profit of W94bn (+148.5% YoY). OP (19F, Wbn) 246 Consensus OP (19F, Wbn) 235 King of Fighters ALLSTAR was launched globally on October 22nd, followed by the Japanese release of Blade & Soul Revolution on October 24th. In November, Frozen EPS Growth (19F, %) 14.5 Adventure, based on Disney’s Frozen intellectual property, is set for global release. Market EPS Growth (19F, %) -32.0 P/E (19F, x) 36.3 At the upcoming G-Star 2019 show, Netmarble plans to showcase four new titles. Market P/E (19F, x) 14.3 Among them, A3: Still Alive and Seven Knights 2 are expected to come out in 1Q20 and KOSPI 2,140.92 2Q20, respectively. Magic Mana Strike, which has already been soft launched, is anticipated to be released in 2Q20, while Seven Knights Revolution and Cross Worlds Market Cap (Wbn) 7,948 are planned for 2H20. Shares Outstanding (mn) 86 Free Float (%) 24.2 Maintain Buy and TP of W127,000 Foreign Ownership (%) 22.7 Reflecting variables (game schedules, etc.) confirmed in the 3Q19 earnings release, we Beta (12M) 0.71 are adjusting down our 2019-20 revenue forecasts by 2.0% and 2.0%, respectively, and 52-Week Low 84,600 our 2019-20 net profit forecasts by 7.8% and 6.6%, respectively. We maintain our Buy 52-Week High 136,000 rating and target price of W127,000 on Netmarble.

(%) 1M 6M 12M We believe the key investment point for Netmarble is its ability to continuously develop Absolute -0.1 -29.2 -24.3 titles that are in sync with market trends, rather than near-term expectations on new Relative -4.6 -30.3 -26.5 titles.

140 Netmarble KOSPI Netmarble has the most extensive portfolio in terms of game genre and geographical 120 coverage among large domestic gaming companies. We believe the company’s high valuation indicates that investors recognize the company’s strong potential to roll out 100 unanticipated new hits in the future. 80

60 11.18 3.19 7.19 11.19

Mirae Asset Daewoo Co., Ltd.

[Internet] FY (Dec.) 12/16 12/17 12/18 12/19F 12/20F 12/21F Revenue (Wbn) 1,500 2,425 2,021 2,281 2,613 2,890 Chang-kwean Kim +822-3774-1614 OP (Wbn) 295 510 242 246 388 468 [email protected] OP margin (%) 19.7 21.0 12.0 10.8 14.8 16.2 NP (Wbn) 174 310 190 218 299 347 EPS (W) 2,719 3,898 2,226 2,550 3,491 4,050 ROE (%) 15.3 11.2 4.4 4.9 6.3 6.9 P/E (x) - 48.4 50.1 36.3 26.6 22.9 P/B (x) - 3.7 2.1 1.7 1.6 1.5 Dividend yield (%) - 0.2 0.0 0.0 0.0 0.0 Note: All figures are based on consolidated K-IFRS; NP refers to net profit attributable to controlling interests Source: Company data, Mirae Asset Daewoo Research estimates

Analysts who prepared this report are registered as research analysts in Korea but not in any other jurisdiction, including the U.S. PLEASE SEE ANALYST CERTIFICATIONS AND IMPORTANT DISCLOSURES & DISCLAIMERS IN APPENDIX 1 AT THE END OF REPORT.

Mirae Asset Daewoo Research Key Universe Valuations November 13, 2019

※All data as of close November 11, 2019, unless otherwise noted.

19F Earnings growth Mkt Cap Price P/E (x) P/B (x) ROE (%) Ticker Company Div Yield OP EPS (Wbn) (W) (%) 19F 20F 19F 20F 19F 20F 19F 20F 19F 20F 005930 314,011 52,600 2.7 -54.3 40.3 -47.7 35.9 16.7 12.3 1.4 1.3 8.6 10.8 000660 SK Hynix 60,570 83,200 1.8 -85.8 150.5 -85.5 140.0 26.8 11.2 1.2 1.1 4.7 10.7 005380 Hyundai Motor 26,815 125,500 3.2 45.9 22.7 116.0 32.0 10.9 8.2 0.5 0.5 4.6 5.8 035420 NAVER 26,700 162,000 0.2 -16.6 76.2 -46.2 130.5 76.6 33.2 3.9 3.5 6.5 13.6 068270 23,806 185,500 - - - - 0.0 0.0 012330 23,302 244,500 1.6 10.3 7.8 25.4 8.8 10.1 9.2 0.7 0.7 7.4 7.4 051910 LG Chem 22,413 317,500 1.3 -47.5 54.5 -63.7 118.3 46.5 21.3 1.4 1.3 3.1 6.6 055550 20,675 43,600 12.3 3.9 10.0 -0.2 6.0 6.0 0.5 0.5 9.1 8.4 017670 SK Telecom 19,742 244,500 4.1 7.3 -3.5 -60.6 68.2 16.0 9.5 0.8 0.7 5.4 8.8 005490 POSCO 19,443 223,000 4.9 -23.9 -9.2 37.8 -0.3 8.3 8.4 0.4 0.4 5.3 5.1 028260 Samsung C&T 19,348 102,000 2.0 -27.7 39.8 -42.8 17.9 19.9 16.9 0.6 0.6 4.0 3.9 051900 LG H&H 19,164 1,227,000 0.9 12.8 9.7 16.5 10.7 24.1 21.8 5.2 4.5 20.3 19.1 034730 SK Holdings 18,927 269,000 1.9 0.6 27.1 -51.4 16.8 17.4 14.9 1.0 1.0 6.3 6.9 105560 KB Financial Group 18,209 43,550 9.3 2.3 12.6 0.5 5.3 5.3 0.5 0.4 9.2 8.5 000270 Motors 17,714 43,700 2.1 82.2 7.7 95.5 11.5 7.8 7.0 0.6 0.6 8.0 8.3 015760 KEPCO 17,590 27,400 - - - - - 83.3 0.3 0.3 - 0.3 006400 Samsung SDI 16,022 233,000 0.4 -33.0 108.9 -38.3 99.8 37.9 19.0 1.3 1.2 3.5 6.7 018260 Samsung SDS 15,321 198,000 1.3 10.4 12.3 10.3 11.8 22.1 19.7 2.3 2.1 11.1 11.3 032830 Samsung Life 15,100 75,500 - - - - 0.0 0.0 096770 SK Innovation 14,841 160,500 5.0 -37.5 28.9 -60.6 85.6 23.1 12.5 0.8 0.8 3.6 6.5 033780 KT&G 13,798 100,500 4.2 12.8 5.6 17.5 5.1 13.0 12.4 1.5 1.5 12.7 12.6 035720 12,878 153,500 0.1 184.6 138.3 226.0 114.7 76.8 35.8 2.5 2.3 3.2 6.7 003550 LG Corp. 12,579 72,900 3.4 -28.0 45.0 -18.4 16.8 8.4 7.2 0.7 0.6 8.1 8.9 036570 NCsoft 11,723 534,000 1.1 1.2 78.1 27.2 54.8 22.0 14.2 3.7 3.0 20.7 26.4 066570 LG Electronics 11,292 69,000 1.1 -4.2 15.6 -39.2 107.1 16.6 8.0 0.8 0.8 5.1 9.9 010950 S-Oil 11,179 99,300 1.3 18.3 161.1 0.4 471.9 44.7 7.8 1.7 1.4 3.9 20.1 000810 Samsung F&M 11,133 235,000 - - - - 0.0 0.0 090430 AmorePacific 11,049 189,000 0.6 -15.7 30.9 -9.8 31.4 36.9 28.1 2.8 2.6 6.6 8.1 086790 10,824 36,050 4.6 2.7 14.8 -6.2 4.2 4.5 0.4 0.3 9.2 8.1 009540 KSOE 8,422 119,000 - 88.1 - -39.1 34.3 56.3 0.7 0.7 2.1 1.3 009150 Samsung Electro-Mechanics 8,291 111,000 1.0 -32.8 17.4 -5.4 -2.9 13.9 14.3 1.5 1.4 12.1 10.5 010130 Korea Zinc 8,171 433,000 2.5 12.2 15.7 25.4 9.3 12.4 11.3 1.2 1.1 10.2 10.3 251270 Netmarble 7,948 92,700 1.8 57.7 14.5 36.9 36.3 26.6 1.7 1.6 4.9 6.3 011170 Lotte Chemical 7,763 226,500 4.6 -35.3 21.0 -39.4 30.8 8.1 6.2 0.6 0.5 7.3 9.0 091990 Celltrion Healthcare 7,484 52,000 - 214.5 745.0 180.7 77.4 27.6 4.1 3.7 5.7 14.8 030200 KT 7,154 27,400 4.0 -2.4 -1.1 -7.8 21.0 11.3 9.3 0.5 0.5 4.7 5.5 024110 7,099 12,300 0.6 -0.8 -1.0 -2.3 4.7 4.8 0.4 0.3 8.0 7.3 018880 Hanon Systems 6,112 11,450 - - - - 0.0 0.0 032640 LG Uplus 6,091 13,950 4.7 -11.8 10.9 -16.7 15.0 15.2 13.2 0.9 0.8 5.8 6.4 086280 5,756 153,500 2.1 22.7 2.0 3.3 34.0 12.7 9.5 1.2 1.1 10.1 12.2 267250 5,635 346,000 5.3 -1.6 92.1 74.3 199.2 12.0 4.0 0.7 0.6 6.0 16.5 Holdings 034220 LG Display 5,206 14,550 ------0.4 0.4 - - 000720 Hyundai E&C 4,933 44,300 1.1 20.6 14.3 32.0 12.8 9.8 8.7 0.7 0.7 7.8 8.2 010140 4,486 7,120 - - - - - 45.4 0.7 0.7 - 1.7 004020 4,330 32,450 2.3 -45.2 39.1 -75.8 289.4 45.0 11.5 0.2 0.2 0.6 2.1 029780 4,304 37,150 11.7 -28.6 1.7 6.8 12.3 11.5 0.6 0.6 1.5 1.6 271560 Orion 4,270 108,000 0.6 12.3 7.0 52.7 9.2 20.0 18.3 2.6 2.3 14.1 13.4 071050 Korea Investment Holdings 3,934 70,600 - - - - 0.0 0.0 005830 DB Insurance 3,901 55,100 - - - - 0.0 0.0 097950 CJ CheilJedang 3,854 256,000 1.4 -2.3 13.2 -88.7 209.7 41.7 13.5 0.8 0.8 2.1 6.2 Source: Mirae Asset Daewoo Research

Mirae Asset Daewoo Research Market Data November 13, 2019

※All data as of close November 12, 2019, unless otherwise noted.

Other Major Indices Economic Indicators Close Net Chg 1D (%) YTD (%) Close 1D ago 1M ago 1Y ago MSCI Korea* 447.85 -7.38 -1.62 4.41 USD/KRW 1,161.30 1,156.10 1,196.10 1,125.70 KOSPI 2,140.92 16.83 0.79 6.51 JPY100/KRW 1,064.88 1,058.46 1,108.48 988.54 KOSDAQ 665.14 3.77 0.57 -0.63 EUR/KRW 1,281.38 1,274.08 1,316.61 1,274.69 Dow Jones* 27,691.49 10.25 0.04 18.71 3Y Treasury 1.56 1.50 1.28 1.95 S&P 500* 3,087.01 -6.07 -0.20 22.99 3Y Corporate 2.06 2.01 1.79 2.41 NASDAQ* 8,464.28 -11.03 -0.13 26.98 DDR4 8Gb* 2.85 2.85 3.06 6.81 Philadelphia Semicon* 1,727.59 -9.19 -0.53 48.25 NAND MLC 64G* 2.30 2.30 2.33 3.04 FTSE 100* 7,328.54 -30.84 -0.42 8.83 Oil (Dubai)* 61.15 60.88 60.44 69.36 Nikkei 225 23,520.01 188.17 0.81 20.23 Gold* 1,457.10 1,462.90 1,482.70 1,208.60 Hang Seng* 26,926.55 -724.59 -2.62 7.15 Customer deposits (Wbn)* 25,327 25,547 25,009 23,472 Taiwan (Weighted) 11,520.37 93.09 0.81 -99.82 Equity type BC (Wbn)(Nov. 8) 81,144 81,408 78,538 81,822 Note: * as of November 11, 2019 Source: KSDA, FnGuide, DRAMeXchange, MSCI

KOSPI Top 10 Foreign Net Buy / Net Sell (Wbn) KOSPI Top 10 Institutional Net Buy / Net Sell (Wbn) Net Buy Net Sell Net Buy Net Sell Hynix 18.82 KODEX 200 21.06 KODEX 200 22.81 TIGER200 13.85 SEMCO 17.29 Korea 18.76 Samsung Electronics 16.13 Fila Korea 13.48 Kakao 15.13 HDC-OP 12.30 KODEX Leverage 16.11 SK C&C 13.47 F&F 12.32 Celltrion 10.77 Hyundai Motor 9.92 KODEX 200 Futures Inverse 2X 10.72 TIGER200 10.54 NAVER 10.16 Hynix 9.90 NS Shopping 10.09 NS Shopping 10.41 Samsung Electronics (P) 9.81 CJ Cheiljedang 8.61 Hyundai Development E&C 9.66 Mando 5.15 SK C&C 7.65 NAVER 8.47 F&F 8.29 Samsung Electronics 4.43 Hyundai Mobis 5.71 SK Telecom 6.25 Kakao 7.86 Lotte Data 4.38 KODEX Leverage 5.34 CJ Corp. 5.50 HDC I-Controls 6.87 KEPCO 3.73 LG Uplus 5.29 Samsung Electronics (P) 4.89 Korea Zinc 5.05 Source: KSDA, FnGuide

KOSDAQ Top 10 Foreign Net Buy / Net Sell (Wbn) KOSDAQ Top 10 Institutional Net Buy / Net Sell (Wbn) Net Buy Net Sell Net Buy Net Sell AP Systems 8.26 CMG Pharm. 5.95 Soulbrain 6.69 Paradise 5.62 Soulbrain 5.38 Medy-tox 4.06 KH Vatec 5.63 Cellivery 4.03 Telcon RF Pharm. 3.78 SillaJen 3.92 AP Systems 4.78 SangSangIn 4.02 FLITTO 3.42 BH,LTD. 3.22 BH,LTD. 4.53 Mezzion Pharma 3.01 Paradise 3.13 SangSangIn 3.10 Dongjin Semichem 4.04 2.65 KH Vatec 3.08 Mezzion Pharma 2.89 HLB 3.22 Nepes 2.24 KMW 2.99 Dongjin Semichem 2.40 Chemtronics 3.17 AfteecaTV 1.87 HLB 2.83 ViroMed 1.90 Fine Technix 2.99 Pharma 1.61 Se Gyung Hi Tech 2.63 Partrion 1.85 EO Technics 2.75 Chunbo 1.49 AfteecaTV 2.27 Vidente 1.77 SKC Kolon PI 2.65 SUPEX BNP 1.45 Source: KSDA, FnGuide

KOSPI Top 10 by Market Cap (Wbn) KOSDAQ Top 10 by Market Cap (Wbn) Close (W) Chg (W) Mkt Cap Close (W) Chg (W) Mkt Cap Samsung Electronics 52,600 1,000 314,011 Celltrion Healthcare 52,000 400 7,484 Hynix 83,200 1,900 60,570 HLB 142,200 2,800 5,651 Samsung Electronics (P) 42,800 400 35,220 CJ ENM 155,600 1,500 3,412 Hyundai Motor 125,500 2,000 26,815 PearlAbyss 206,000 2,000 2,683 NAVER 162,000 -1,000 26,700 Studio Dragon 76,700 -1,200 2,155 398,000 -1,500 26,334 Mezzion Pharma 246,800 -2,300 2,149 Celltrion 185,500 -500 23,806 ViroMed 96,500 400 2,067 Hyundai Mobis 244,500 3,000 23,302 KMW 50,500 750 2,010 LG Chem 317,500 500 22,413 Hugel 388,500 1,200 1,989 Shinhan Financial Group 43,600 250 20,675 SK Materials 177,100 1,700 1,868 Source: