Device - Korea Stock Market Insights

What Happened?

On September 24, 2025, Morgan Stanley & Co. International plc announced a new 5.03% stake acquisition in APR for ‘simple investment’ purposes.

Why Did Morgan Stanley Invest in APR? (Positive Factors)

Strong Fundamentals: APR shows robust growth in cosmetics (Medicube, Aprilskin, Forment) and home beauty devices (Medicube Age-R). As of the first half of 2025, it recorded sales of KRW 593.8 billion and operating profit of KRW 139.1 billion, maintaining a stable debt ratio (approximately 59.6%) and healthy operating cash flow.
Global Growth Potential: Internalization of technology and patent acquisition in the home beauty device business, and global market expansion strategy in the cosmetics business enhance APR’s future growth potential.
Shareholder Return Policy: Consistent share buybacks/cancellations and dividend policies are attractive to institutional investors.

What to Consider When Investing? (Potential Risks)

Stock Volatility: Short-term stock price volatility may increase depending on institutional investors’ trading activities.
External Environmental Changes: External factors like fluctuations in exchange rates, interest rates, raw material prices, and intensifying competition can affect APR’s performance.

What Action Should Investors Take?

Morgan Stanley’s investment can be interpreted as a positive signal for APR’s growth. However, before making investment decisions, investors should consider the global economic situation, beauty industry trends, and APR’s mid-to-long-term business strategies. A long-term investment strategy focusing on the company’s fundamentals and growth potential is necessary, rather than focusing on short-term stock price movements.

1. APR Q2 Earnings Analysis: Growth of Core Business and Improved Profitability

APR achieved sales of KRW 593.8 billion and operating profit of KRW 139.1 billion in the first half of 2025, continuing its solid growth. In particular, the sales portion of the cosmetics/beauty business significantly increased, and the operating profit margin also improved significantly to 23.43% year-on-year. This is interpreted as a result of strengthening the competitiveness of the core business and efficient cost management.

2. Key Contents of APR IR: Targeting Overseas Markets and Securing New Growth Engines

This IR will not only announce the Q2 earnings but also discuss future growth strategies. Of particular interest are overseas market expansion and new product launch strategies. Successful overseas expansion and new product launches are expected to play a crucial role in securing APR’s future growth engine.

3. Investment Precautions: Increased Inventory and Macroeconomic Uncertainty

Despite the positive aspects, investors should also be aware of several risk factors. The increasing trend of inventory assets, sluggish performance of other business segments, and global macroeconomic uncertainties are factors that can affect APR’s future performance. It is essential to pay attention to how management presents its strategies to address these risk factors at this IR.

4. Investor Action Plan: Review Investment Strategy After Checking IR Content

The results of APR’s IR are expected to have a significant impact on future stock price trends. Investors should carefully review the IR announcement and re-examine their investment strategies by comprehensively considering the company’s growth strategy and potential risk factors.

Tag: Device

Morgan Stanley Acquires 5% Stake in APR: Investment Outlook Analysis