[Click eStock] "DYPNF, Expects 400 Billion KRW New Orders This Year Due to Strengthened Environmental Regulations"

[Asia Economy Reporter Hyungsoo Park] ResearchAlum forecasted on the 29th that DYPNF's performance will improve due to the favorable petrochemical industry conditions and strengthened environmental regulations. The stock price outlook is 'positive,' with a target price of 41,500 KRW.

Choi Seonghwan, Chief Researcher at ResearchAlum, explained, "Petrochemical facility investments were delayed due to the impact of COVID-19," adding, "DYPNF's order backlog decreased from 207.8 billion KRW at the end of 2019 to 150.1 billion KRW at the end of last year."

He continued, "Last year's new orders amounted to only about 155 billion KRW, but this year, through new orders worth 400 billion KRW, we expect to achieve a 'surprise performance.'"

Researcher Choi stated, "Due to the Texas cold wave in the U.S., petrochemical margins surged, and interest in the timing of new NCC (Naphtha Cracking Center) expansions has increased," forecasting, "Order disclosures will continue from the second half of this year."

He diagnosed, "With strengthened environmental regulations, bids for environmental facilities at aging coal-fired power plants have increased," and added, "As coal power is being converted to biomass power, benefits to the Mechanical Conveying System (MCS) are expected."

He further added, "Orders for NCM (Nickel Cobalt Manganese) conveying equipment from Cosmo Advanced Materials and new orders worth 50 billion KRW are expected this year in the secondary battery sector, including conveying equipment for POSCO's lithium mine raw materials."

This content was produced with the assistance of AI translation services.