[Featured Stock] SK Inno Approaching 'SK On' Profit Turnaround... Similar Early Phase to Tesla Stock Price Rise

SK Innovation is showing strength. It appears that the analysis predicting SK On will turn profitable in operating income starting from the fourth quarter of this year is influencing the stock price.

As of 9:22 AM on the 26th, SK Innovation is trading at 229,000 KRW, up 11.44% from the previous day.

Hi Investment & Securities has analyzed that SK Innovation has entered the second half of the year, a period requiring a full-scale buying strategy.

Jeon Yujin, a researcher at Hi Investment & Securities, explained, "Considering the stabilization of yield at the U.S. plant and the impact of the IRA, SK On is expected to turn profitable in operating income starting from the fourth quarter of this year."

He added, "The production yield at the U.S. plant improved slightly in the second quarter compared to the previous quarter. Considering that it took about 1.5 to 2.0 years for the yields at past plants in China, Hungary, and competitors' overseas plants to stabilize, it is expected to fully normalize around the fourth quarter of this year and lead to a turnaround to profitability."

He analyzed, "The past significant stock price rises of LG Chem and Tesla coincided almost exactly with the timing of their quarterly operating income turning profitable, and the trend of stock price increase is not far off either." Additionally, he said, "It is necessary to pay attention to the structural rise in refining margins due to reduced exports of refined products to China and India in the second half of this year and tight diesel inventories in Europe, along with the increasingly imminent profitability turnaround of SK On."

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