[Click e-Stock] "Taihan Cable, First Year of Performance Growth This Year... Target Price Raised by 39%"

On January 22, KB Securities maintained its 'Buy' investment rating on Taihan Cable and raised its target price to 32,000 won.

KB Securities analysts Kim Seonbong and Sung Hyundong explained the reason for the target price increase in their report, "2025 Q4 Preview: Full-Scale Recognition of Extra-High Voltage Cable Sales," released on the same day. They cited the following factors: a surge in North American power demand leading to a full-scale recognition of extra-high voltage underground cable sales and an increase in orders in 2026, as well as an upward revision of material sales estimates due to rising copper prices.

The new target price of 32,000 won is a 39% increase from the previous target. Compared to the previous day's closing price, there is also an additional 19% upside potential.

Taihan Cable's consolidated sales for the fourth quarter of last year are expected to reach 971.3 billion won, with operating profit estimated at 33.9 billion won. This represents year-on-year increases of 16.5% and 55.5%, respectively.

In particular, 2026 is expected to mark the first year of significant performance growth for Taihan Cable. The analysts emphasized, "The full-scale shipment of previously secured extra-high voltage cable orders for North America and Singapore, totaling 1.7 trillion won, along with increased material sales driven by higher copper prices, are expected to drive growth." In North America, utility companies have traditionally borne the costs of power grid investments, but as of January, there are discussions about big tech companies directly shouldering these expenses, which is expected to further boost underground cable orders.

Additionally, as the Asian subsea cable market emerges, Taihan Cable is also drawing attention as a beneficiary. The analysts explained, "Taihan Cable accounts for about 43% of Asian facility investments by subsea cable companies, making it the most aggressively expanding player." Accordingly, Taihan Cable's market share is expected to grow from 4% in 2026 to 31% in 2032. During the same period, operating profit in the subsea cable segment is projected to rise from 6 billion won to 205.3 billion won, with its share of total operating profit expanding from 4% to 37%.