S. Korea Stocks: Romanson, Daewoo Ship, Hyundai Heavy, Samsung

By Kyung Bok Cho

Aug. 27 (Bloomberg) -- South Korea's Kospi index lost 11.86, or 0.8 percent, to 1,490.25 as of 9:12 a.m. in Seoul.

The following are among the most-active stocks in South Korean markets.

Companies that do business in North Korea: Cheryong Industrial Co. (033100 KS), which supplies electrical equipment to North Korea, lost 130 won, or 5.4 percent, to 2,270. Romanson Co. (026040 KS), a watch maker that has a factory in the Communist country, dropped 40 won, or 3.5 percent, to 1,090.

North Korea said yesterday it stopped disabling the Yongbyon nuclear reactor Aug. 14 after the U.S. failed to remove it from a list of state sponsors of terrorism, potentially disrupting talks to dismantle its nuclear-weapons program.

Shipbuilders: Daewoo Shipbuilding & Marine Engineering Co. (042660 KS), the world's third-largest shipyard, gained 550 won, or 1.6 percent, to 35,250. Hyundai Heavy Industries Co. (009540 KS), which said yesterday it will submit a bid for a controlling stake in Daewoo Shipbuilding, declined 9,000 won, or 3.7 percent, to 235,000.

Samsung Heavy Industries Co. (010140 KS), the world's second-largest shipbuilder, slid 900 won, or 2.8 percent, to 31,300. The shares may underperform as Hyundai Heavy is bidding for Daewoo Shipbuilding to prevent being overtaken by Samsung Heavy, wrote Sung Ki Jong, an analyst at Daewoo Securities Co. in a note to investors.

Samsung Electronics Co. (005930 KS), the world's biggest computer-memory maker, retreated 13,000 won, or 2.4 percent, to 527,000. Citigroup Inc. cut its price estimate by 15 percent to 700,000 won, in a report, citing ``slippage in near-term fundamentals.''

Separately, third-quarter operating profit, or sales minus the cost of goods sold and administrative expenses, will be 1.02 trillion won, CJ Investment & Securities Co. said in a report. It had previously estimated as much as 1.3 trillion won.

To contact the reporter for this story: Kyung Bok Cho in Seoul at kcho7@bloomberg.net