[Click e-Stock] "Daejoo Electronic Materials: Silicon Anode Growth... Target Price Raised"

"Expansion of Applicable Models within Hyundai Motor Group"

Sangsangin Securities announced on March 9 that it would maintain its "Buy" investment rating on Daejoo Electronic Materials and raise its target price to 150,000 won.

Yoo Mingki, a researcher at Sangsangin Securities, stated, "We expect to see the full-scale reflection of sales of silicon anode materials for Panasonic, as well as the effects of an expanded range of models within Hyundai Motor Group." He added, "We also forecast that the conductive paste segment will continue its growth trend due to increased demand for MLCCs for artificial intelligence (AI) servers." He further noted that Daejoo Electronic Materials' paste is highly likely to be used in solar cells mounted on third-generation satellites, which are scheduled to be launched this year by a North American private aerospace company.

Researcher Yoo projected this year's revenue at 322.1 billion won and operating profit at 41.4 billion won. The conductive paste segment grew by 30% year-on-year last year, driven by increased MLCC demand for data centers, and is expected to maintain a similar trend this year. The silicon anode material segment is forecast to grow by 39% annually, reflecting full-year sales to Panasonic and Tesla, the effect of new Porsche Cayenne models, and the expansion of applicable models within Hyundai Motor Group.

Regarding the paste business, he mentioned that although initial volumes will be at a pilot scale, Daejoo Electronic Materials is expected to benefit from being able to mass-produce essential silver and silver-copper paste for HJT electrode formation at its domestic base. In the long term, he also noted that the company could become a primary vendor if the number of operable satellites increases and regulations mandating the establishment of a non-Chinese material value chain come into play.

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