[Featured Stock] Silicon Two Rises Over 4%... "Earnings Growth Starting from Q1"

Silicon Two is showing a strong gain of over 4% in early trading on the 16th. This is interpreted as a recovery in investor sentiment due to expectations that earnings will improve starting from the first quarter of this year.

As of 9:31 a.m. on the day, Silicon Two's stock is trading at 33,400 KRW, up 4.38% from the previous trading day. The stock had closed down at 32,000 KRW the day before.

Jongdae Park, a researcher at Meritz Securities, forecasted, "Silicon Two's sales and operating profit for the first quarter of this year are expected to increase by 27% and 36%, respectively, compared to the same period last year, reaching approximately 190.2 billion KRW and 40.1 billion KRW." He analyzed that sales in the U.S. region, which were sluggish in the fourth quarter of last year, are showing signs of recovery, and sales in Europe and the Middle East are expected to grow by around 10% compared to the previous quarter. Accordingly, he raised the target stock price from 37,000 KRW to 42,000 KRW.

Researcher Park evaluated, "While global demand for K-Beauty continues to grow, Silicon Two is the largest global trade vendor of K-Beauty domestically," adding, "The current stock price is undervalued with a 12-month forward price-to-earnings ratio (PER) of 12.9 times."