Korea Stock Market Insights

Tag: EID

  • EID (093230) Delisting Confirmed: What Investors Need to Know

    EID (093230) Delisting Confirmed: What Investors Need to Know 대표 차트 이미지

    1. What Happened to EID?

    EID received a delisting decision on February 14, 2025, which was confirmed on August 27 after their injunction request was denied. The trading halt period is scheduled from September 2nd to 10th.

    2. Why is EID Being Delisted?

    EID has faced persistent operating losses, declining revenue, and auditor disagreements, indicating severe financial distress. Despite venturing into various businesses like oil, real estate, secondary batteries, and NFTs, the company failed to generate significant returns. Allegations of embezzlement and lawsuits further exacerbated the situation. The table below illustrates EID’s deteriorating financial performance.

    Indicator Dec 2022 Dec 2023 Dec 2024 Dec 2025
    Revenue 6,994 4,167 4,005 3,304
    Operating Income 629 -133 0 -97
    Net Income 454 -140 205 -88

    3. What Should Investors Do?

    Stock prices can fluctuate drastically during the trading halt period. Investors should understand the situation and exercise extreme caution. Participating in trading during this period carries significant risk, and the chances of recovering investment capital are minimal. Considering EID’s deteriorating fundamentals, transparency issues, and ongoing lawsuits, further investment should be avoided.

    4. Key Takeaways & Action Plan

    • Understand the Situation: Fully grasp the reasons behind EID’s delisting.
    • Assess the Risks: Carefully consider the price volatility and investment risks during the trading halt period.
    • Invest Cautiously: All investment decisions should be made with extreme caution and at your own risk. Be prepared for potential losses.
    • Stay Informed: Continuously monitor public disclosures and relevant news for the latest updates.

    Frequently Asked Questions (FAQ)

    What is a trading halt period?

    A trading halt period is a designated time before a stock’s delisting when investors are given a final opportunity to sell their shares.

    Can the stock price surge during the trading halt period?

    Yes, it’s possible. However, given the confirmed delisting, such price movements are highly speculative and carry significant downside risk.

    Should I sell my EID shares now?

    With the delisting confirmed, selling your shares during the trading halt period is generally recommended. However, all investment decisions should be made at your own discretion.

    What happens after delisting?

    After delisting, the stock will no longer be traded on the exchange. It may be traded over-the-counter (OTC), but liquidity will likely be low, making trading difficult.

    EID (093230) Delisting Confirmed: What Investors Need to Know 관련 이미지

  • EID (093230) Receives Disclaimer of Opinion: In-Depth Analysis and Investment Strategy

    1. What Happened? : EID Receives Disclaimer of Opinion and Referral to Corporate Review Committee

    EID announced on August 14, 2025, a correction to its semi-annual report (2025.06) due to an omission in the ‘Matters related to External Audit’ section, changing the audit opinion to a ‘disclaimer of opinion.’ Furthermore, it was revealed that the company has been referred to the Corporate Review Committee for deliberation regarding delisting eligibility. This is a serious matter that suggests a high possibility of delisting.

    2. Why Did This Happen? : Three Consecutive Disclaimers, Deteriorating Financial Status

    EID received a disclaimer of opinion for the 22nd, 23rd, and now the 24th semi-annual period. This raises serious doubts about the company’s financial soundness and transparency. In particular, the high debt ratio, continuous operating and net losses, and liquidity crisis threaten the very existence of the company.

    3. What’s Next? : High Probability of Delisting, Investor Caution Advised

    Considering past similar cases, three consecutive disclaimers of opinion and referral to the Corporate Review Committee indicate a very high probability of delisting. While the company is currently applying for an injunction against the delisting decision, a positive outcome seems unlikely.

    4. Investor Action Plan: Consider Immediate Selling, Closely Monitor the Situation

    Investing in EID is currently extremely risky. The stock is suspended, and the high probability of delisting means that it may be impossible to recover investments. Therefore, ‘selling’ is strongly recommended, and investors should closely monitor company disclosures and related news.

    Why did EID receive a disclaimer of opinion?

    EID received a disclaimer of opinion due to an omission in the ‘Matters related to External Audit’ section of its semi-annual report. This raises serious concerns about the company’s financial soundness and transparency, increasing the likelihood of delisting.

    What should I do with my EID shares now?

    EID shares are currently suspended, and the likelihood of delisting is very high. Therefore, selling is strongly recommended, and investors should closely monitor company disclosures and related news.

    Will EID be delisted?

    Given the three consecutive disclaimers of opinion and the referral to the Corporate Review Committee, the probability of EID’s delisting is very high. Although the company is applying for an injunction, the outcome remains uncertain.