[Click eStock] "SK, Palmteco Pre-IPO Drives Stock Price"... Target Price Up

[Asia Economy Reporter Ji Yeon-jin] Yuanta Securities raised the target stock price of SK to 480,000 KRW, stating that this year, SK Pharmteco, a subsidiary of SK, will play a driving role in the stock price as the first validation of Pharmteco's value is made through its 'PRE IPO (pre-IPO investment)' process.

Choi Nam-gon, a researcher at Yuanta Securities, said, "The core of SKD's bio business is SK Pharmteco," adding, "SK Pharmteco has achieved results such as the production of oral COVID-19 treatment API, and its sales and EBITDA (earnings before interest, taxes, depreciation, and amortization) are expected to exceed 1 trillion KRW and 200 billion KRW respectively this year."

He also forecasted that if SK Pharmteco's performance is validated in the gene and cell therapy (GCT) field in the future, its corporate value will exceed 10 trillion KRW through an IPO.

On the same day, Yuanta Securities calculated SK's net asset value per share at 480,000 KRW. The core unlisted subsidiaries were divided into ▲Materials (SK Siltron, SK Materials) ▲Green (SK E&S, SK Ecoplant) ▲Bio (SK Pharmteco), which were valued at 6 trillion KRW, 5 trillion KRW, and 4 trillion KRW respectively.

SK declared that it will increase its corporate value to 120 trillion KRW by 2025. The investment equity value of the Materials division was projected to rise from 7 trillion KRW last year to over 25 trillion KRW by 2025, and the Green division from 6 trillion KRW to over 35 trillion KRW. When converted to present value, Materials is valued at 17 trillion KRW and Green at 24 trillion KRW. Researcher Choi explained, "This is why we need to pay attention to the upcoming changes in SK's Materials, Green, and Bio divisions."

SK's Materials division has already demonstrated growth in wafers, semiconductor specialty gases, and copper foil, and is evaluated to have technological superiority in silicon-based anode materials. SiC wafers, EPI wafers, SiC power semiconductors, and cathode materials are expected to have high growth potential. The expansion of silicon-based anode materials is expected to yield results this year. From next year onward, it is anticipated that production capacity in silicon-based anode and cathode materials will be secured to a level that will not fall behind major Korean secondary battery material companies. If the company achieves operating profits of 2.1 trillion KRW, 400 billion KRW, and 900 billion KRW respectively in the semiconductor materials, SiC wafers, and secondary battery materials sectors by 2025 as proposed, the corporate value of the Materials division will reach 42.8 trillion KRW.

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