Yuanta Securities offered investment opinion 'buy' and target stock price of 18,000 won for Jinsung TEC.
Yuanta Securities said, "The biggest customer of the company is Caterpillar in the United States," and explained, "Non-China sales in the United States, Europe and Southeast Asia account for more than 70%.".
Yuanta Securities added, "Even if China is sluggish, Jinsung TEC's construction machinery-related business is in place to grow steadily.".
"In addition, due to the issue of Pan Dynamic and the resulting global transportation turmoil, the strategy is expected to be revised for customers to increase their inventory holdings for construction machinery components," Yuanta Securities said.
Yuanta Securities said, "The policy to strengthen this decision is the U.S. infrastructure stimulus plan. Jinsung TEC's share price is down 35% from its previous high.".
Reporter Lee Dong-hoon usinvestmentidea2020@gmail.com
