"Duk San Neolux to Benefit from Privacy Display Trend... Overweight Recommendation" [Click e-Stock]

As Samsung Electronics recently unveiled a new mobile phone featuring a privacy display, there is growing analysis predicting that Duk San Neolux, which possesses related proprietary technology, will benefit in the mid- to long-term.

On March 9, Jeongha Park, a researcher at iM Investment & Securities, stated, "With privacy displays emerging as a new technology trend in the smartphone and IT device markets, Duk San Neolux, which holds an exclusive position in black PDL (Pixel Definition Layer), is expected to see significant mid- to long-term benefits." iM Investment & Securities maintained its 'Buy' recommendation and set the target price for Duk San Neolux at 70,000 won.

The privacy display is an integrated display security technology that controls the viewing angle so that the screen is not visible to anyone except the user. The technology is based on Samsung Display's Flex Magic Pixel (FMP) structure. It separates 'narrow pixels,' which emit light vertically, from 'wide pixels,' which disperse light more broadly, thereby completely blocking side visibility in security mode. Samsung Electronics became the first in the world to equip a privacy display in the Galaxy S26 Ultra, which was released this month, and it is also reported that Apple is interested in this technology.

The key to implementing this technology is CoE (Polarizer-Free OLED). CoE is a technology that controls the direction of the light source and addresses reduced brightness caused by a decrease in luminous area. Researcher Park noted, "In the future, CoE technology is likely to become a core technology trend in the smartphone OLED market," adding, "The shipment volume of polarizer-free OLED panels is projected to grow from approximately 31 million units in 2025 to 190 million units in 2030, representing about a sixfold increase."

Accordingly, Duk San Neolux, which has secured a monopolistic position in black PDL, a core material for CoE, is expected to see continued mid- to long-term performance growth. Apple is also reportedly considering applying CoE technology to its bar-type iPhone scheduled for release in the first half of next year.

In addition, the shipment volume of smartphone OLED panels from Samsung Display, the main customer, is expected to remain robust. Approximately 90% of Samsung Display's panel shipments are supplied to Samsung Electronics and Apple, and Samsung Display is also expected to be the exclusive supplier of ILED panels for Apple's first foldable iPhone, which is anticipated to launch. iM Investment & Securities forecasts revenue this year at 440 billion won, up 28% year-on-year, and operating profit at 90.9 billion won, an increase of 50%.

Researcher Park stated, "(Despite the outlook for performance growth), due to a price correction, the price-to-earnings ratio (P/E) based on this year's expected results is nearing a historical low of about 11.0 times," and added, "Given the company's mid- to long-term growth potential, the current price range is seen as highly attractive, and an aggressive overweight strategy is recommended."

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