<Anchor> It is a



friendly economic time.

Today (31st) I will also be with reporter Kim Hye-min.

Reporter Kim, I heard a story like Kakao is splitting face value recently, but it's a bit difficult to say that this split face value.

Please explain what this is.



<Reporter>



I will explain this a little more easily.

If you compare it to pizza, you should have ordered only one pizza in the meantime, but now you can buy one piece at a time.

Do you understand right away?



In terms of stocks, the par value written on a security is broken down into smaller pieces.

The par value of Kakao shares was 500 won, and two days ago, we decided to divide the par value of 5 to 1 through a general shareholders' meeting.

Now this goes down to 100 won.



Naturally, the number of issued shares of Kakao increases, but the total market capitalization remains unchanged.

From the 12th to the 14th of the following month, the transaction is temporarily suspended, and from the next day it will be listed at a lowered price.



So, if you have about 1 share of Kakao stock, which is about 500,000 won now, you will have 5 shares of 100,000 won from April 15th.



<Anchor>



But reporter Kim, why are companies splitting stocks like this?



<Reporter>



As I said earlier, I want almost 500,000 won per share of Kakao stock.

This is actually a bit burdensome for office workers to scam.

This far exceeds the salary of an office worker.



In particular, the number of individual investors has increased significantly over the past few years. If the par value is split, the price threshold is lowered, making it easier for them to buy and sell, and the trading volume will increase.



For companies, this is a great opportunity to increase stock value by increasing access to minority shareholders.



In Korea, representatively, in 2018, Samsung Electronics split shares worth over 2.5 million won per share by one-fifth, while in foreign countries, Apple and Tesla made several splits similar to Korea's par value split.



On the other hand, some people oppose the division, Warren Buffett.

Warren Buffett's company Berkshire Hathaway currently costs over 440 million won per share.



Buffett said, "Splitting stocks will attract lower-level investors than they are now," and he sees that lowering stocks and calling new investors is rather unfavorable to companies because of increased liquidity.



<Anchor> What



viewers are most curious about is this division.

Then, I would be most curious about whether the stock price will rise or fall after that. How is the market forecasting?



<Reporter>



Right.

This is probably the most curious.

It cannot be concluded that the stock price goes up immediately after the par value split.



Only the face value and the number of issued stocks change, but in fact, the corporate value remains the same.

Still, if you compare past cases, you can make some guesses.



According to a financial information company, there are 71 companies that have split face values ​​in the KOSPI and KOSDAQ markets over the past three years since 2018, of which only 24 companies whose stock price rose a month later.

It's about a third.

The average rate of increase is 22.6%.



On the other hand, 46 shares fell in one month after the par value split.

It was about 9% on average.



Samsung Electronics, a conglomerate, and Naver, one of the two major stocks of Untact, also fell among the stocks, and the stock price did not rise significantly for several years after that.



<Anchor>



Then, in the end, rather than expecting profits in the short term, we have to look at it in the long run.



<Reporter>



That's right.

In fact, Kakao is currently showing the highest performance ever.

The listing of affiliates is also scheduled to be listed, so the stock price outlook of experts is optimistic, but you still need to approach it carefully.



In fact, when Kakao announced that it would also split face value, the stock price surged close to 5% in after-hours trading, but only slightly rose the next day.



I explained earlier that Samsung Electronics' stock price fell for a month after the par value split. This rebounded again in June of last year when the semiconductor industry improved.



Naver's share price also started to rise when online shopping sales increased significantly due to Corona 19 last year.



Experts advised, "Rather than expecting the stock price to rise due to the split-off, individuals have more opportunities to invest in high-end stocks, and they should focus more on the long-term future value."