LK-99 Unveiled on July 22 Last Year
Shinseong Delta Stock Soars 774%
The market capitalization of Sinseong Delta Tech, known as the leading stock in the superconductor theme, has surpassed 3 trillion won. The stock price has increased eightfold in seven months since a paper on the superconductor material 'LK-99' was published on the preprint site 'arXiv' on July 22 last year.
According to the financial investment industry on the 12th, Sinseong Delta Tech's stock price rose 774% from 12,910 won on July 21 last year to 114,600 won on the 8th of this month. The market capitalization swelled to 3.1497 trillion won. This was the highest rate of increase in the domestic stock market during this period. Sinseong Delta Tech was included in the superconductor theme because its subsidiary L&S Venture Capital holds shares in the Quantum Energy Research Institute.
Superconductors were the hottest keyword in the domestic stock market in August last year. As expectations grew regarding the superconductor material LK-99, which exhibits superconductivity under room temperature and atmospheric pressure conditions, related stocks surged. Sinseong Delta Tech recorded the upper price limit six times in August last year alone, rising 218%.
Superconductors are materials that simultaneously possess the characteristics of a 'perfect conductor,' where electrical resistance becomes zero, and 'perfect diamagnetism,' which repels surrounding magnetic fields. When electrical resistance disappears, power transmission efficiency increases and there is no heat generation. The economic impact is expected to be significant if superconductors can be realized at room temperature.
Both domestic and international academia have attempted to verify LK-99 and generally concluded that 'it is difficult to consider LK-99 as a room-temperature superconductor.' Similar to the trend of new technology theme stocks commonly seen in the past, the stock price surged and then declined. Sinseong Delta Tech's stock price, which had fallen more than 50% from its peak in December last year, has surged again this year.
News that Professor Kim Hyun-tak of William & Mary University, together with the Quantum Energy Research Institute research team, will present experimental results on the superconductivity of 'PCPOSOS' at the American Physical Society (APS) conference held in Minnesota, USA, on the 4th of next month, acted as a catalyst for the stock price surge. PCPOSOS is a material with sulfur added to the existing LK-99.
The financial investment industry expressed concern, stating, "Considering the trend of superconductor theme stocks in the second half of last year, stock price volatility may increase until the 4th of next month."
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