[Click eStock] "Jaeyoung Solutec, Expected Record High Performance This Year... Market Cap Doubles, Real Estate Value in Focus"

Growth Research analyzed on the 13th that Jaeyoung Solutec is expected to achieve its highest performance this year and that attention should be paid to its real estate value, which exceeds its market capitalization.

Jaemo Lee, a researcher at Growth Research, stated, "Jaeyoung Solutec is undervalued despite owning significant real estate compared to its market capitalization (around 50 billion KRW). The asset value of land owned by the company in Songdo, Incheon Namdong Industrial Complex, and its Vietnam subsidiary is estimated to have a fair value of approximately 80 to 100 billion KRW."

Lee also highlighted the positive earnings outlook for Jaeyoung Solutec. He said, "With the trend toward high-spec smartphone cameras, sales of optical image stabilizers (OIS) and encoders, which have higher supply prices, are expanding, leading to significant improvements in revenue and operating profit since last year."

He added, "The expansion of actuator sales at Jaeyoung Solutec is expected to continue. The application of OIS to entry-level models of major clients is increasing, and unlike other IT component companies, Jaeyoung Solutec has a relatively high proportion of sales from entry-level products."

Lee forecasted not only the achievement of the highest performance this year but also a positive outlook for next year's results. He explained, "The company is participating in various advanced development projects, including OIS for new models of client companies next year, and the number of mass production projects is expected to increase due to the rise in preliminary tasks."

Meanwhile, Jaeyoung Solutec is a company that produces and sells actuators, which are core camera components installed in smartphones, based on mold technology. The actuator product lineup includes OIS, encoders, and voice coil motors (VCM), with OIS accounting for about 50% and encoders about 40% of sales within the business division.