[Featured Stock] Amotech, Expected Earnings Rebound Centered on MLCC, Up Over 4%

The stock price of Amotech, expected to see a sharp rebound in performance through mass production of MLCC (Multilayer Ceramic Capacitors), is on the rise. A corporate report significantly raising Amotech's target price has been released in the securities market.

As of 9:21 AM on the 2nd, Amotech was trading at 7,900 KRW, up 330 KRW (4.36%) from the previous trading day.

On this day, iM Securities stated about Amotech, "After a long period of losses, an annual operating profit turnaround is expected. It has been 8 years since the declaration of entry into the MLCC business, and the end of the tunnel is beginning to appear," maintaining a buy investment rating. In particular, the target price was sharply raised by 47% from the previous 7,500 KRW to 11,000 KRW.

Go Eui-young, a researcher at iM Securities, said, "At the end of last year, mass production approval was re-obtained from the largest Chinese electric vehicle company, and full-scale mass production has begun. We expect profitability to improve as yield stabilizes in the future," adding, "Even a meaningful reduction in operating losses from MLCC will quickly turn the company's overall performance around."

He continued, "If there are no major issues like the quality problems experienced with the same customer two years ago, MLCC sales this year are expected to grow 150-200% compared to last year, reaching 25 to 30 billion KRW. Accordingly, the company's overall annual operating profit is also expected to rebound from -24 billion KRW last year."