[Featured Stock] CoAsia Rises on Wireless Earphone Growth and System Semiconductor Expansion Prospects

[Asia Economy Reporter Park Hyungsoo] KoAsia is showing strong performance. The growth of the True Wireless Stereo (TWS) business unit and the anticipation of the system semiconductor business taking off seem to be influencing the stock price.

As of 9:54 AM on the 2nd, KoAsia is trading at 6,100 KRW, up 10.91% from the previous day.

Researcher Shin Jihoon of Leading Investment Securities analyzed, "Global TWS sales last year were about 130 million units," and "KoAsia's main client, Company A, sold about 8 million units, holding a market share of approximately 6.2%."

He added, "If TWS is provided as a bundle, KoAsia's sales are estimated to increase by about 300 billion KRW," and emphasized, "KoAsia Electronics, the parent company, has formed a broad Greater China network through its non-memory foundry and design service business, as well as 20 years of system solutions and semiconductor distribution business."

Researcher Shin said, "Based on this, they are promoting a new DSP (Design Solution Partner) business expanding from Greater China customers to major clients."

He continued, "Once registered as Company A's DSP, they plan to fully launch the system semiconductor business centered on the acquired Nexel," and forecasted, "Starting this year, performance growth will accelerate as the existing TWS business and other businesses combine with the new DSP business."