SK Telecom Co Ltd,  known by the ticker symbol SKM,  is a mid-cap Telecom Services, operating in the communication services business sector. This is my first report on SKM for this Viital portfolio.  But I have reviewed in for one of of my previous six dog of the week portfolios.

SK Telecom is South Korea's largest wireless telecom operator, with 29 million mobile customers. The firm also owns SK Broadband (formerly Hanaro Telecom), which has 6.5 million broadband customers and 8.7 million broadband TV customers. 

While the firm also purchased stakes in businesses in security and semiconductor memory production as well as developing e-commerce and Internet platform businesses, these were all spun off into the separate SK Square business in November 2021.

The company was incorporated in 1984 and is headquartered in Seoul, South Korea.

Three key data points gauge any dividend equity or fund such as SK Telecom Co Ltd (SKM): (1) Price (2) Dividends (3) Returns.

Those three basic keys best tell whether any company has made, is making, and will make money. 

SKM Price

SK Telecom's price per share was $25.32 as of yesterday's market close. One year ago its price was $14.92. Therefore, SK Telecom's share price fell $2.08 or 37% in the past year. (Likely due to the spin off of web-based assets in November.)

If SK Telecom's stock trades in the range of $20.00 to $30.00 this next year, its recent $25.32 share price might rise by $1.08 to reach $26.40 by March 7, 2023. This estimate is  $0.07 below the average annual increase in SKM share price over the past 10 years

SKM Dividends

SK Telecom's most recent semi-annual dividend of $0.3977 per share was paid August 17th, to shareholders on record as of June 9th.  The SKM  Annual estimated dividend payout per share of $0.80 yields 3.16% per yesterday's $25.32. closing price. 

SKM has paid variable semi-annual dividend payouts generally increasing annually since August, 2009. That stretch will mark 13 years come August.

SKM Returns

Adding the $0.80 annual SK Telecom Co Ltd forward-looking dividend to its estimated one-year price upside of $1.08 shows a $1.88 potential gross gain, per share, to be reduced by any costs to trade SKM shares.  

At yesterday's $25.32 price per share, a little over $1000 would buy 40 shares.

A $10 broker fee (if charged) would be paid half at purchase and half at sale and might cost us  $0.25 per share.

Subtract that maybe $0.25 brokerage cost from my estimated $1.88 gross gain estimate per share results in a net gain of $1.63 X 40 shares = $65.20 for a 6.52% net gain on a $1,012.80 investment.

So it is that SK Telecom Co Ltd (SKM) shows a possible 6.52% net gain including a 3.16% forward estimated dividend yield. 

Over the next year at this time our $1000 investment in SK Telecom Co Ltd (SKM) could generate $31.60 in cash dividends alone. Note that a single share of SKM stock bought at yesterday's share price of $25.32 is $6.28 or 19.8%  below the dividend income from $1000.00 invested. So, by my dogcatcher ideal, now is a good time to pickup SK Telecom Co Ltd (SKM)  shares. The estimated next-year dividend from $1K invested is $6.28 more than yesterday's single share price of SKM. Consider yourself alerted. It's a sign!  Now's the time!

All of the estimates above are speculation based on the past history of SK Telecom Co Ltd (SKM). Only time and money invested in this stock will determine its market value.