More than half of South Korea’s listed companies received no coverage from securities analysts last year. (Image courtesy of Yonhap)
SEOUL, March 14 (Korea Bizwire) — More than half of South Korea’s listed companies received no coverage from securities analysts last year, with research reports heavily concentrated on large-cap stocks and companies listed on the country’s main KOSPI board.
According to data released on March 13 by the Korea IR Association’s Corporate Research Center, while the total number of analyst reports increased 8.8% year-over-year to 27,099 in 2024, some 1,496 listed companies – representing 57.1% of all firms listed on the Korea Exchange – received no coverage at all.
The distribution of research coverage showed a clear bias toward larger companies. By market, KOSPI-listed companies accounted for 74.6% of all reports, while companies on the KOSDAQ and KONEX markets received just 25.4% and 0.01% of coverage respectively.
The skew was even more pronounced when looking at market capitalization. Companies valued at over 500 billion won dominated analyst attention, receiving 80% of all reports. Mid-sized companies worth less than 500 billion won accounted for 17.1% of reports, while small-cap firms valued under 100 billion won received just 2.9% of coverage.
The Korea IR Association’s research center said it issued 51 reports on KONEX-listed companies to help address information asymmetry in the capital markets and increase investor interest in small and medium-sized enterprises. The center plans to expand its coverage this year with additional reports focusing on smaller listed companies that have announced corporate value enhancement plans under the “Value-Up” program.
M. H. Lee (mhlee@koreabizwire.com)
