Samsung Electronics shares hit a record high on Friday after reporting strong earnings a day before, prompting analysts to boost their price target for the stock and forecast never-before-seen profit for the electronics giant.
The South Korean firm saw shares hit 2.29 million Korean won ($2,011) during trade on Friday, breaking a previous record set on Thursday, and closed at 2.23 Korean won.
It comes after Samsung reported a 48 percent year-on-year rise in its first quarter operating profit to 9.9 trillion Korean won, driven by strength in its semiconductor and display division. Samsung also announced plans to cancel existing treasury shares worth over $35 billion by 2018, accepting proposals submitted by activist hedge fund Elliott.
This boosted the company’s stock price, and on Friday, a number of analysts upgraded their outlook and forecast record earnings for the full year.
Nomura upped its price target from 2.7 million Korean won to 3.3 million Korean won. This represents the prospect of 48 percent upside from Friday’s close. It also said it expects operating profit of 53.2 trillion Korean won for 2017, which if achieved, would be Samsung’s highest ever. The previous highest came in 2013 when the company reported full-year operating profit of 36.79 trillion Korean Won.