Citi flags strike risk as drag on Samsung earnings

Samsung Electronics may face near-term pressure on earnings and its share price as labor tensions escalate, with a potential strike and large bonus provisions weighing on profitability, according to Citigroup. In a report released April 30, Citi analyst Peter Lee maintained a “buy” rating on the stock but lowered the target price by 6.3 percent to 300,000 won from 320,000 won. The revision reflects rising concerns that the company may need to set aside substantial provisions for performance-base

By The Korea Herald