[Click eStock] "LG Display Secured Its Suppliers"

Future Panel Price Trends Expected to Be Determined by Performance Improvement
Shinhan Financial Investment "LG Display Target Price Raised from 24,000 KRW to 30,000 KRW"

[Asia Economy Reporter Gong Byung-sun] As LG Display secures new customers and supply channels, the direction of panel prices is expected to determine the improvement in its performance. Accordingly, Shinhan Financial Investment has raised the target price for LG Display.

On the 13th, Shinhan Financial Investment maintained its investment opinion of "Buy" on LG Display. The target price was revised upward from the previous 24,000 KRW to 30,000 KRW. The closing price on the 10th was 22,350 KRW.

The acquisition of new customers is expected to have a positive impact on the stock price. LG Display is supplying liquid crystal display (LCD) panels to Samsung Electronics, and there are reports that they may establish a cooperative relationship regarding white organic light-emitting diode (WOLED) panels. In particular, the supply volume of LCD TVs is estimated to be around 4 to 5 million units.

The supply of LCD TV panels is a positive factor in terms of securing a stable supply volume. If LG Display counts the world’s number one TV seller, which can place large-scale orders, as a customer, it is expected to minimize volatility in future supply volumes.

News of WOLED supply is also clearly a positive factor, but the potential for increase is expected to be less than that of LCD. This is because the mid- to long-term demand from set manufacturers remains uncertain, and the additional WOLED supply volume next year is limited to 2 million units. However, Kim Chan-woo, a researcher at Shinhan Financial Investment, explained, “If new customers are secured, they will benefit from supply prices.”

The improvement in performance is expected to be determined by future panel prices. Researcher Kim said, “The recent decline in LCD TV prices is slowing down, and the downside risk is limited due to better-than-expected set demand and supply volume adjustments,” adding, “We expect a reversal to rising panel prices by the second quarter of next year.”

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