[Click e Stocks] Hanmi Semiconductor Benefits from Non-Memory Supply Shortage

[Asia Economy Reporter Hwang Junho] Amid the ongoing correction in technology stocks this year, Shinhan Financial Investment raised the target price of Hanmi Semiconductor to 40,000 KRW on the 20th. This figure reflects factors such as a decline in market discount rates, non-memory supply shortages, and expansion of new product sales.

First, major countries are establishing policies to resolve the non-memory supply shortage crisis. U.S. President Joe Biden plans to hold a semiconductor meeting on this day (local time), following the one on the 12th of last month. The U.S. intends to invest substantial resources in semiconductor supply chain investigations and the construction of semiconductor production facilities. Additionally, aggressive capacity expansions are being requested from non-memory companies such as Taiwan's TSMC and Samsung Electronics to increase supply.

Accordingly, the non-memory supply shortage is expected to be somewhat resolved by the second quarter. Samsung Electronics' fabs in the U.S. Austin and other locations that had been shut down are returning to normal operations. This is expected to be confirmed through shipment volume recovery starting next month. Furthermore, foundry companies are expected to allocate optimal volumes to each non-memory segment. However, capacity expansion is still necessary for the supply shortage to be completely resolved.

In this situation, Hanmi Semiconductor's vision placement equipment is expected to benefit. This equipment directly influences the increase in non-memory production volumes at companies like TSMC. Consequently, Hanmi Semiconductor's past performance has always aligned with TSMC's direction, albeit with greater volatility. Expansion of new equipment orders is also anticipated. Long-term supplies of EMI shields, camera modules, and TC bonders?which are expected to resume orders during periods of surging demand for servers?are projected to contribute to future performance growth.

Choi Doyeon, a research fellow at Shinhan Financial Investment Research Center, stated, "During the recent IT stock correction phase, short-term relief was provided from fatigue caused by rapid stock price increases. Hanmi Semiconductor is the only domestic small-to-mid semiconductor company whose performance and stock price are directly linked to TSMC, making it a recommended stock to buy during the unprecedented non-memory supply shortage period."

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