@UBS cuts $KOSPI ( $EWY ) 12-month target by nearly 10% to 8000 as macro headwinds worsen
The revision lowers UBS’s implied target P/E to 7x from 8x, reflecting deteriorating macro headwinds even as UBS still forecasts robust KOSPI EPS growth of 256% in 2026 and 38% in 2027.
Key drivers cited: the 10-year Korean government bond yield has risen to 4.5% from 3.4% at the start of the year (≈+110bps), the Bank of Korea has raised rates twice since July, oil is trading above $100, and a stronger won is also a drag.
The revision lowers UBS’s implied target P/E to 7x from 8x, reflecting deteriorating macro headwinds even as UBS still forecasts robust KOSPI EPS growth of 256% in 2026 and 38% in 2027.
Key drivers cited: the 10-year Korean government bond yield has risen to 4.5% from 3.4% at the start of the year (≈+110bps), the Bank of Korea has raised rates twice since July, oil is trading above $100, and a stronger won is also a drag.