March 25, 2021, James Lim, Senior Research Analyst at Dalton Investments, was recently featured on CNBC discussing initial public offering (IPOs) valuations in South Korea and specifically how many recently listed stocks see a significant price jump due to investor excitement and excess liquidity in the market. Mr. Lim noted that as value investors, Dalton prefers to be “cautious and wait for the market to be less excited on these stocks”. Mr. Lim also highlighted the divergence in valuations between private and public markets in South Korea, and how private market companies trade at premiums similar that those seen in the U.S., while long standing public companies trade at much larger discounts.
View the full video here.