[Click eStock] "Daeduck Electronics, Opportunity to Expand AI-Oriented Sales"

Hana Securities forecasted on the 25th that Daeduck Electronics, which manufactures semiconductor substrates, could expand its sales by supplying substrates used in artificial intelligence (AI) accelerators.

Daeduck Electronics

Kim Rok-ho, an analyst at Hana Securities, said, "This year, the operating rate in the non-memory sector was low, which damaged profitability," adding, "Next year, profitability is expected to improve significantly as the depreciation of the 'server AI Ball Grid Array (FCBGA) production line,' which started operating in 2021, will be completed."

Analyst Kim also stated, "It is difficult to estimate the order volume in advance for AI accelerator-oriented High-Density Interconnect (HDI) and Multi-Layer Board (MLB), but once orders are received, the production lines with completed depreciation can be utilized, leading to improved profitability."

He emphasized, "It is hard to say that the price-to-earnings ratio (PER) based on the current stock price is at a low level," but added, "Considering the trend of earnings recovery and the momentum from AI-related benefits, stock price increases can be expected."