[Click eStock] "Y2Solution, Expected to Enter US Electric Vehicle Charger Market"

DS Investment & Securities analyzed on the 2nd that a favorable environment is being created for Y2Solution to enter the U.S. electric vehicle charging market. They set a target stock price of 5,600 KRW.

Researcher Kim Suhyun of DS Investment & Securities explained, "The U.S. will implement a new subsidy policy (BABA Act) for the electric vehicle charger market (EVC) starting this August," adding, "Subsidies covering up to 80% of the installation cost for fast chargers will be provided only if more than 55% of the parts are manufactured in the U.S. and the steel and metals are 100% U.S.-made."

He continued, "This is essentially a measure to regulate Chinese-made power modules (PSU), which are the core of electric vehicle chargers and account for 30-40% of the cost, and which hold over 90% market share in the U.S.," adding, "Major overseas companies such as Y2Solution, ABB, and Vicor are mentioned as candidates to replace Chinese-made PSUs."

He emphasized, "Compared to overseas companies like ABB, Y2Solution's selling price is at about 33%, securing price competitiveness."

Researcher Kim analyzed, "By 2030, 500,000 ultra-fast and fast chargers will be installed across the U.S.," and confirmed, "Y2Solution has completed preparations for applying for U.S. UL certification and local manufacturing in the U.S." He added, "LG Electronics, which has traded PSUs for displays for over 20 years, completed the establishment of a local factory for U.S. fast charger manufacturing starting this year," noting, "The expansion of investment is a significant opportunity factor."