Apple's Foldable Phones, Production Expansion, and Robotics... All Signs Point to This Stock [This Week's Focus Stocks]

Expectations for Apple's expanded smartphone production, entry into the foldable market, and even robotics-all three distinct growth stories have converged into a single stock. This is the story of BH Co., Ltd., an electronic components company whose stock price has surged over 40% in just one week.

According to the Korea Exchange on April 22, the stock price of BH Co., Ltd. jumped from 22,500 won on April 13 to 33,050 won on April 20, soaring about 47% in just one week. This surge far outpaces the KOSPI during the same period. Experts say that both the magnitude and speed of the rally are unusual, making it difficult to attribute the rise to a simple technical rebound.

The securities industry attributes this surge to both the direct benefits of Apple's increased smartphone production and simultaneous expectations for a business structure shift into foldables, automotive electronics, and robotics. Over the same period, four analytical reports on BH Co., Ltd. were published by FNGuide, drawing heightened attention from investors.

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Founded in 1999, BH Co., Ltd. manufactures flexible printed circuit boards (FPCB) used in smartphones, tablets, and display modules. FPCBs, known for their thin and flexible structure, are essential components in electronic devices that pack numerous functions into compact spaces. As devices become slimmer and more advanced, the use of FPCBs increases accordingly.

The company supplies products to global IT device manufacturers, including Apple, and has recently expanded its portfolio into automotive electronics and robotics. Its subsidiary, BH EVS, acquired the vehicle wireless charging business unit from LG Electronics and secured global automakers such as GM, Honda, and Land Rover as clients. With a global market share of around 30%, BH Co., Ltd. is regarded as a top-tier competitor in the industry.

The trend of growing smartphone shipments in North America continues. Hyungwoo Park, an analyst at SK Securities, stated, "North American manufacturers decided to expand smartphone production at the end of last year. Production volume is expected to rise by about 10 million units from 240 million last year." He added, "While competitors are responding to rising component prices, BH's strategy to expand its market share is being realized."

On the back of these shipment increases, BH Co., Ltd.'s first-quarter results are expected to surpass market expectations. Kangho Park, an analyst at Daishin Securities, commented, "First-quarter operating profit is projected to reach 12.7 billion won, more than doubling the consensus estimate." He explained, "This is due to increased iPhone sales, a greater proportion of Pro and Pro Max models, and favorable exchange rate effects."

Annual performance is also expected to improve. Daishin Securities estimates this year’s operating profit at 126.8 billion won, a 135% increase year-over-year. Revenue is also forecast to expand to around 2 trillion won. Kangho Park said, "A first-quarter earnings surprise increases the reliability of full-year estimates, and sales of new products in the second half are likely to be stronger than anticipated."

The expansion of Apple's product lineup is another key factor-especially foldable smartphones. Kangho Park noted, "Apple’s foldable phone is expected to reach around 7 million units this year, with the potential for further production increases. Because the average supply price is higher than that of traditional bar-type phones, this will result in upward earnings revisions."

Structurally, foldable smartphones require more FPCBs. With both the quantity of components and unit prices rising, there is a significant positive impact on profitability. Daehyung Cho, an analyst at DS Investment & Securities, predicted, "Supply of products for foldables is expected to begin in the second quarter, with the largest earnings contribution appearing in the second half of the year."

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The IT OLED business is also showing signs of improvement. Daehyung Cho noted, "Additional mass production of IT OLED substrates is scheduled for the second half, which should help reduce deficits."

Juhyung Lee, an analyst at Eugene Investment & Securities, stated, "Although the IT OLED production line has been operating at a loss, sales of new products are expected to increase from the third quarter. IT OLED revenue is projected to grow by more than three times compared to last year and is expected to break even in the second half."

Among new businesses, robotics is the most noteworthy. BH Co., Ltd. is leveraging its existing FPCB technology to expand into robotic components and charging solutions. The company is also entering the early stages of business expansion by unveiling a robot charger at CES 2026, the world’s largest electronics and IT exhibition.

Daehyung Cho estimated, "A humanoid robot arm is expected to be equipped with more than 20 FPCBs, representing an entirely new market with tremendous upstream industry expansion potential." He added, "Wireless charging modules are also expected to see expanded applications in robotics, with mass production likely in the second half."

Automotive electronics also represent a long-term growth pillar. Since acquiring the vehicle wireless charging business, BH Co., Ltd. has been expanding its automotive client base, signaling a shift away from a mobile-centric structure.

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Further upside potential for the stock price has also been evaluated positively. Kangho Park stated, "Revenue diversification is underway, expanding from smartphones to automotive electronics, robotics, and OLED IT devices, which should lead to a re-rating of the company’s valuation." He maintained a 'Buy' rating on BH Co., Ltd. and raised the target price from 35,000 won to 43,000 won.

Hyungwoo Park also commented, "BH Co., Ltd. is the only Korean company capable of large-scale investment in display FPCBs as the oligopoly supply structure becomes more solidified. Having demonstrated strong fundamentals, a higher multiple is justified." He raised his target price from 20,500 won, which he suggested last June, to 45,000 won.

Juhyung Lee increased his target price from 23,000 won to 27,000 won. He said, "BH Co., Ltd., BH EVS, and DKT-the three core group companies-are jointly pursuing the physical AI business. The foldable phone momentum from North American clients and business diversification could serve as grounds for multiple expansion."

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