Korean Bank Stock Pullback Is Buying Opportunity, JPMorgan Says

  • A sub-gauge of local banks falls more than 9% over two days
  • Investors worry ‘Value-Up’ push may stall on political crisis
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A recent slide in South Korean financial shares following political turmoil is an opportunity to buy, according to analysts at JPMorgan Chase & Co., as banks are expected to continue their efforts to boost shareholder returns.

A gauge tracking Korean bank stocks fell as much as 5.3%, taking its two-day slide to more than 9%. Shares of KB Financial Group, parent of the nation’s biggest lender, tumbled 9.2% on Thursday, while peers Shinhan Financial Group and Hana Financial Group lost more than 4%.