Woojine's stock price is on the rise. Securities firms' analysis that it will benefit from the revitalization of the nuclear power industry seems to be influencing the stock price. Looking at the nuclear power policies of major countries, they are promoting nuclear-friendly policies such as ▲pushing for new nuclear power plant construction ▲expanding the proportion of nuclear power generation ▲continuing operation of existing nuclear power plants.
As of 10:14 AM on the 11th, Woojin is trading at 10,370 KRW, up 12.11% from the previous day.
Woojin is a company engaged in the maintenance and manufacturing of industrial measuring instrument control equipment. Woojin exclusively supplies four core measuring instruments used in the reactors of large domestic nuclear power plants.
Kwon Deok-min, a researcher at Shin Young Securities, explained, "Woojin is participating in the development of SMR parts, which are gaining global attention," adding, "The i-SMR currently being developed under government leadership in Korea is planned to be developed over the next six years." He continued, "To secure SMR-related technology, Woojin has submitted a Request for Proposal (RFP) to the government for the four key measuring instrument components in which it has the strongest competitiveness," and added, "It is expected that a development project announcement will be made within the second half of the year."
Researcher Kwon said, "Woojin has carried out past national projects and holds related patents," and "benefits are expected when SMR is commercialized." He also noted, "NuScale, a global SMR manufacturer, recently announced a request for equipment production for main equipment delivery," and "the contract for main equipment delivery is known to have been signed with Doosan Enerbility." Furthermore, he emphasized, "Woojin has signed a specialized item contract with Doosan Enerbility," and "related benefits can be expected." However, he added, "Since the detailed contract contents between Doosan Enerbility and NuScale are unknown, there is also a valid possibility that the key measuring instruments required for main equipment production will be supplied from the United States."
The day before, the Ministry of Science and ICT, together with the Ministry of Trade, Industry and Energy, held the launch ceremony of the 'Innovative Small Modular Reactor Technology Development Project Group' at Lotte City Hotel in Daejeon. The 'Innovative Small Modular Reactor Technology Development Project' is a project jointly invested by the Ministry of Science and ICT and the Ministry of Trade, Industry and Energy with a total budget of 399.2 billion KRW over six years starting this year to develop the next-generation Korean Small Modular Reactor (SMR).
Researcher Kwon explained, "The main factors for sales growth are the increase in nuclear power utilization rates and the introduction of new nuclear power plant construction or commercial operation," adding, "Nuclear-friendly policies are being implemented, and new large nuclear power plant construction has resumed accordingly."
He added, "The more large nuclear power plants are added, the more frequent the replacement cycles of core measuring instruments required for reactors will be," and "Woojin's fixed sales scale will increase."
It is estimated that this year Woojin will record sales of 145.5 billion KRW and operating profit of 14.5 billion KRW, representing increases of 17.3% and 22.3%, respectively, compared to the previous year. Shin Young Securities newly issued a 'Buy' investment opinion and a target price of 12,000 KRW for Woojin.
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