汇丰银行-韩国消费者研究-korea consumer areality check ahead of 2q17 results-20170710-hsbc.pdfVIP

10 July 2017   Korea Consumer EQUITIES CONSUMER A reality check ahead of 2Q17 results Korea  We continue to prefer convenience store plays (vs. other Karen Choi* formats) on their relatively stronger earnings outlook Head of Consumer and Retail Research, Asia-Pacific The Hong Kong and Shanghai Banking Corporation Limited, Seoul Securities Branch  Separately, E-Mart’s market share gain, led by successful karen.choi@ +822 3706 8781 private brands, continues * Employed by a non-US affiliate of HSBC Securities (USA) Inc, and is  Key picks: convenience stores GS Retail (TP KRW77k) and not registered/ qualified pursuant to FINRA regulations BGF Retail (TP KRW150k, from KRW160k), both rated Buy We continue to prefer convenience store names to other off-line retail formats such as department stores, hypermarkets and duty-free operators, for their structural growth opportunities in 2017e (see Korea Convenience Stores: What slowdown?, 27 October 2016).