Korea Electric Power Corporation's systematic investments in power
generation and infrastructure development projects will enable it
to provide reliable services and meet increasing customer demand.
Its cost-saving initiatives are also commendable. The company's
steady focus on expanding its international foothold will
subsequently help to boost its revenue stream. Korea Electric Power
continues to be well positioned to capitalize on growth
opportunities in the market and to benefit from the industry
restructuring initiatives of the Republic of Korea. It also
maintains a robust financial position, which enables the company to
continue making capital investments. However, uncertainty in
pending regulatory cases, dependence on currency fluctuation,
volatile commodity prices and operational risks are all concerns.
Thus, we are maintaining our Neutral recommendation on the stock.
Korea Electric Power Corporation (KEP), also known as KEPCO, is
an integrated electric utility engaged in the generation,
transmission, distribution of electricity and development of
electric power resources in South Korea. The company was
incorporated on Jan 1, 1982. As of Dec 31, 2013, Korea Electric
Power had a total generating capacity of 81,805 megawatts (MW) from
the coal, gas, oil, nuclear, hydro and alternate energy-based
generation units. The company's six wholly-owned generation
subsidiaries are: Korea Hydro and Nuclear Power (KHNP), Korea
South-East Power (KOSEP), Korea Midland Power (KOMIPO), Korea
Western Power (WP), Korea Southern Power (KOSPO), and Korea
East-West Power (EWP).
Korea Electric Power Corp. (KEP): Read the Full
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