[Click eStock] "Purenteo, Mid- to Long-Term Growth Potential Valid"

NH Investment & Securities analyzed on the 29th that Furontier has valid mid- to long-term growth potential. No investment opinion or target price was provided.

Furontier is a company that produces automated equipment for automotive camera modules. It supplies key process assembly (ActiveAlign, Dual Align) and inspection (Intrinsic Calibration, EOL) equipment for autonomous driving sensing cameras to major clients such as Samsung Electro-Mechanics, LG Innotek, and MCNEX.

Kyunggeun Kang, a researcher at NH Investment & Securities, stated, "About 85% of the end users of automotive equipment sales are North American electric vehicle companies," adding, "Furontier's automotive equipment sales are outperforming the growth rate relative to the production volume of these companies' electric vehicles due to the introduction of high-definition sensing cameras and the increase in the number of mounted cameras."

NH Investment & Securities expects Furontier's sales and operating profit next year to reach 62.5 billion KRW and 11.9 billion KRW, respectively, representing increases of 28.9% and 31.0% compared to the same period last year. He explained, "Although the fourth-quarter performance decline compared to the previous quarter is a short-term concern, significant order expansion is expected after the first half of next year," and added, "Considering that the company supplies core solution equipment in the ADAS and autonomous driving markets, the mid- to long-term growth potential is valid."