[Featured Stock] ChemTros, 'The Second Cheonbo'... Revaluation as a Main Material Supplier for Secondary Batteries

[Asia Economy Reporter Hyungsoo Park] Kemtros is showing strong performance. It appears that the analysis suggesting it could be re-evaluated as a main material supplier for secondary batteries has influenced the stock price.

As of 9:51 AM on the 28th, Kemtros is trading at 13,750 KRW, up 13.17% from the previous day.

Kyobo Securities evaluated Kemtros on the same day, stating that it operates in the same business as Cheonbo and is strengthening partnerships with battery cell companies based on the leading company's technology.

Researcher Boyoung Choi of Kyobo Securities said, "We expect it to be re-evaluated as a main material supplier for secondary batteries, becoming the second Cheonbo," and explained, "We have already factored in the expansion of customer volume and the completion costs of the third plant, and we anticipate a steep upward trend in performance."

He explained, "Additives are components of secondary battery electrolytes, accounting for only 3.6% of the composition ratio but 26% of the cost," adding, "They are the core of electrolyte technology."

He continued, "Since 2012, Kemtros additives have been significantly used in domestic and international customers' smartphones and laptops," and added, "The company has been recognized as an industry leader for its technology and mass production capabilities."

Furthermore, he emphasized, "They possess product development capabilities that improve charging capacity, overcharge prevention, flame retardancy, battery life, and stability, tailored to the specifications of demand sources."

He predicted, "The main additive plays a role in preventing temperature rise during battery charging and discharging," and said, "It will be a solution to prevent fires caused by battery thermal runaway, which is considered the biggest obstacle in the secondary battery industry."

Researcher Choi also stated, "We expect benefits from the localization of Maleic acid, used as an additive for cathode materials, and PVDF, a cathode binder, which have been entirely dependent on overseas companies," and added, "We anticipate benefits from PSFA materials used as reinforced separators due to the expansion of fuel cells for hydrogen vehicles."