ITM Semiconductor is showing strong performance. It appears that securities firms' analysis, which predicts increased demand for Protection Circuit Module (PMP) due to the rise of on-device artificial intelligence (AI), has had an impact.
As of 9:33 AM on the 17th, ITM Semiconductor was trading at 26,600 KRW, up 2,200 KRW (9.02%) compared to the previous trading day.
KB Securities expects ITM Semiconductor's second-quarter earnings this year to improve compared to the previous quarter. Lee Chang-min, a researcher at KB Securities, said, "ITM Semiconductor's second-quarter sales are estimated at 145.6 billion KRW, an increase of 2.7 billion KRW compared to the same period last year, with an operating loss of 2.4 billion KRW, indicating continued deficits. However, with the start of sales reflecting new smartphone products from North American clients and the supply of protection circuits to domestic clients' clamshell-type foldable phones, performance improvement compared to the previous quarter is possible."
The researcher explained, "ITM Semiconductor's battery protection circuit PMP is more expensive than general protection circuits but has strengths in power and heat management of batteries. It is an item that can additionally secure mounting space for components through modularization of related parts."
He emphasized, "One of the biggest problems faced by devices using AI currently is high power consumption and difficulty in heat management, and PMP is one of the effective solutions to these problems. With expected expansion of penetration within domestic smartphone manufacturers, stabilization of performance for North American clients, and increased demand and proportion of high value-added products for on-device AI, an upward trend in ITM Semiconductor's stock price is anticipated."
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