[THE INVESTOR] On Oct. 5, Kakao (035720) increased 5.30% to 85,500 won (US$ 76.75). It had increased 3.2% through the past month. Standard deviation, the volatility index for stock price, was 1.5% over the same period of time over one month.

Compared with its close competitors within the same industry, KOSDAQ, as the monthly volatility was lower than that of its peer group, the earnings rate of Kakao over one month was comparatively low. Over the recent month, the return-on-risk, the return on investment with consideration about risk, was 2.1. Though its volatility was not so high, the return-on-risk was low on the whole with a poor earnings rate. Moreover, compared with the KOSDAQ industry, the return-on-risk is below the industrial mean, 4.3, and thus it is hard to say that the industrial comparison performance was positive.

Comparing industry to the market, the KOSDAQ industry including Kakao records lower volatility but a higher earning rate than Internet. In other words, the industry had been safer with high returns.

From Sept. 29, foreigners have been continuously buying Kakao during the past 3 trading days. As a shareholding sum by investor group for the past 4 weeks, foreigners have bought 223,122 shares with a maintenance of shareholding. However, during the same period, institutions have sold 12,738 shares with dominant selling and individuals have sold 210,384 shares as they turn toward a selling stance.

Cumulated shareholdings per investor group (1Mo) Total shareholdings per investor group

By HeRo (hero@heraldcorp.com)

This article is produced by the algorithm developed by the artificial intelligence developer ThinkPool in collaboration with Herald Corp.