[Click eStock] "Sapien Semiconductor Expected to Benefit from AR Market Growth"

Published 18 Jun.2024 08:26(KST)

NH Investment & Securities analyzed on the 18th that Sapien Semiconductor's performance will improve due to the growth of the augmented reality (AR) market and securing major clients.

Lee Gyu-ha, a researcher at NH Investment & Securities, explained, "So far, the company has mainly relied on R&D sales, so a deficit is inevitable this year," adding, "Next year, as mass production of some models begins, it will turn profitable."

He continued, "They have secured customers among U.S. companies leading the extended reality (XR) market as well as companies in the Greater China region," and added, "We expect sales of about $20 to $30 per unit and a profit margin of over 30%."

He emphasized, "The stock price fell after the lock-up shares were released following the listing," and said, "Considering that the largest domestic display company also invested, they have secured technological capabilities and market expansion potential." He further stated, "Considering mid- to long-term growth, we recommend buying at a low price."