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CJ Logistics recorded the highest stock price within a year as expectations for counter-profit increased in the aftermath of the Coupang personal information leak. In addition, the securities price raised up to the target share price and proposed further room for growth.

According to the Korea Exchange on the 4th, as of 10 a.m., CJ Logistics was trading at 99,500 won, down 1.0% from the previous day. The day before, it surged 7.6% to close at 10,500 won, breaking the 52-week report.

Recently, as member withdrawal and class action lawsuits spread after the personal information of about 33.7 million people was leaked from Coupang, the possibility of consumers moving to other e-commerce platforms such as Naver, G Market, and Curley was raised. The stock price seems to reflect the forecast that CJ Logistics, which is responsible for the delivery of these companies, will naturally concentrate its benefits.

The securities market also expressed anticipation. On the same day, Korea Investment Securities raised the target share price of CJ Logistics from 125,000 won to 135,000 won and maintained an investment opinion of “buy (buy).” “Coupang, the biggest competitor, is being shaken by internal and external negative events,” said Choi Woon, a researcher at Korea Investment Securities, and analyzed that “CJ Logistics's stock price is more sensitive to Coupang than the distribution industry, so reflective benefits are expected.”

He explained, “Although e-commerce transactions increased by 6% last year, the volume of three-party logistics packages excluding Coupang only increased by 2%,” and “CJ Logistics shares also showed a pattern of rebounding when competitive forces of Coupang, such as Naver and China's overseas direct sales, gained strength.”

CJ Logistics's performance turnaround (performance improvement) is also stimulating investment sentiment. Although it was sluggish due to initial investment costs until the first half of the year, performance improved as digital innovations such as the “7-day delivery week” effect and logistics automation were fully reflected in the 3rd quarter. Researcher Choi also said, “Performance has turned around since the 3rd quarter,” and predicted that “next year, courier operating profit will increase and turn after 3 years, leading the entire company to achieve maximum profit.”

The possibility of recovery in the global sector is also raised. It is analyzed that CJ Logistics is affected by a decrease in trade volume due to tariffs rather than the increase in US tariffs itself, and external growth will become apparent from next year due to the expansion of new logistics centers. Jeong Yeon-seung, a researcher at NH Investment Securities, said, “Although the global division will continue to decline in forwarding sales due to the decline in container freight rates, it will be possible to maintain operating profits as external growth due to the expansion of a new logistics center in the US corporation becomes visible from next year.”

However, there is also a forecast that the counter-profit from the Coupang crisis will stop in the short term. This is because due to the strong competitiveness of Coupang's readers, such as rocket delivery and online video service (OTT), Coupang Play, etc., membership turnover will be limited. JP Morgan, a global investment bank (IB), assessed in a report that “Coupang has an unparalleled position in the Korean market,” and “Korean consumers are relatively insensitive to data leakage issues, so customer churn is limited.”

Meanwhile, after the announcement of the leak of personal information, the stock price of Coupang declined slightly as the financial authorities revealed an investigation policy due to the sale of shares by executives. The Government Affairs Committee of the National Assembly is considering whether to prosecute Chairman Kim Bum-suk for not attending the National Assembly's current inquiries due to his stay abroad.