The target price of solution advanced materials has increased.
Sales are expected to increase by expanding its market share as the battery park business unit's entry into the U.S. is expected to take shape within this year.
Yuanta Securities raised its target price of Solus Advanced Materials from 66,000 won to 110,000 won on the 20th. The investment opinion maintained a 'buy'.
Yuanta Securities said, "Our entry into the U.S. will take shape within this year," adding, "We expect to expand our preemptive market share through early entry into the U.S. market.".
Solus Advanced Materials is a company that produces copper foil and electronic materials.
In the U.S. market, it is also expected that it will secure additional customers in addition to existing customers through early entry. Yuanta Securities said, "The expansion of the plant to enter the U.S. market will be completed by the end of 2024, estimated at 40,000 tons, and reflecting the U.S. entry, the production capacity of Solus high-tech materials will be expanded from 100,000 tons to 140,000 tons.".
Solus Advanced Materials are estimated to generate sales of 114.9 billion won and operating profit of 12.6 billion won on a consolidated basis in the third quarter. Compared to the same period last year, sales and operating profit increased by 25% and 511%.
Solus Advanced Materials are expected to generate 425.3 billion won in sales and 30.4 billion won in operating profit on a consolidated basis in 2021. Compared to 2020 performance, sales will increase 46.5% and operating profit will remain in place.
Reporter Lee Dong-hoon usinvestmentidea2020@gmail.com
