[Featured Stock] Amogreentech Benefits from Tesla Shanghai... Leading High-Efficiency Magnetic Materials for Electric Vehicles

[Asia Economy Reporter Hyungsoo Park] Amogreentech's stock price is on the rise. Securities firms' analysis that its performance will improve along with the high-growth 5G and electric vehicle markets seems to be influencing the stock price.

As of 11:27 AM on the 29th, Amogreentech is trading at 15,100 KRW, up 5.96% from the previous day.

Kim Doohyun, a researcher at Hana Financial Investment, explained, "Amogreentech supplied vents for most of the second half strategic smartphones of major domestic clients in the third quarter of last year," adding, "It is estimated that vents were supplied for about 8 million units out of 10 million new smartphones shipped in the second half by the clients."

He continued, "It is expected to supply more than half of the vents for the first half strategic smartphones scheduled to be released in the first quarter of this year," and added, "Nano membrane sales will exceed 13 billion KRW in the first half alone."

Furthermore, he emphasized, "The total annual shipment volume of new and existing flagship smartphones of the clients is about 80 million units, and even assuming supply to only half, annual sales of over 25 billion KRW are expected."

Vents are components made of nano membrane material applied to mobile device speakers, microphones, receivers, etc., which transmit sound while performing waterproof functions.

Researcher Kim also analyzed, "The proportion of electric vehicles in global annual new car sales is expected to increase from 2.03% in 2018 to 54% by 2040," adding, "Amogreentech was the first in Korea and the third in the world to develop a high-efficiency magnetic material independently."

He predicted, "They supply major products to Tesla, BYD, LEAR, etc.," and said, "They are conducting multiple projects with global automakers and are expected to show concrete results this year." Additionally, he said, "An increase in sales due to the operation of Tesla's Shanghai factory, which accounts for the largest share among major clients, can also be expected."