Yuanta Securities analyzed on the 14th that Fine M Tech is expected to benefit from the growth of the foldable smartphone market.
Kwon Myung-jun, a researcher at Yuanta Securities, stated in a report on the same day, “Multiple research institutions, including TrendForce, forecast that the shipment volume of foldable smartphones in 2024 will grow by more than 30% compared to the previous year,” adding, “Fine M Tech supplies internal hinges not only to domestic but also to Greater China foldable smartphone companies, so it is expected to benefit from market growth.”
He judged, “If expectations are formed for the launch of affordable foldable smartphones or foldable devices by top-tier North American smartphone companies in the future, it could act as a factor for valuation upgrades.”
He continued, “There is a high possibility of the company entering the market for external hinges for foldable smartphones in 2024,” explaining, “They have secured MIM process technology independently, making technical responses easier, and have secured capacity through Capex investments.”
He also emphasized that the start of EV module housing production is another point of expectation. He explained, “EV module housing fixes battery cells to protect against external shocks and plays a role in maintaining the overall shape and structure of the module when swelling occurs during battery charging.”
He added, “The company has internalized the entire process including materials to secure price competitiveness, has established a fully automated Full Ass’y line, and additional Capex investments are planned,” forecasting, “Initial deliveries began in the early fourth quarter of this year, and full-scale sales are expected to occur from 2024.”
© The Asia Business Daily(www.asiae.co.kr). All rights reserved.
