SK Telecom's AIDC Business Could Support Higher Dividend Payouts
Dow Jones
Sep 09
0124 GMT - SK Telecom's expanding artificial-intelligence data center business could support higher dividend payouts, say Hana Securities' Hong Seek Kim and Sanghun Lee. The analysts expect revenue from the South Korean telco's AIDCs could surge 10-fold to 5 trillion won by 2032, assuming capacity will jump to 1.5 gigawatts by then from 140 megawatts currently. The AIDC business could add about one trillion won to operating profit by 2032, potentially allowing the company to increase its dividend payouts by roughly 500 billion won, or up 67% from current levels, they add. Hana keeps a buy rating and 140,000-won target price for the stock. Shares are 1.0% lower at 91,500 won.
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