[Featured Stock] Samsung SDI Rises for Second Day on Display Stake Sale...Hits Record High

Samsung SDI continued its upward trend for the second consecutive day, hitting a new 52-week intraday high.

As of 9:09 a.m. on the 20th, Samsung SDI was trading at 412,500 won on the Korea Exchange, up 4,500 won (1.10%) from the previous day. During the session, it climbed as high as 420,500 won, setting a new 52-week high.

The news of the sale of its stake in Samsung Display is seen as the driving force behind the share price rise. The previous day, Samsung SDI announced in a filing that it had reported to its board of directors a plan to sell its stake in Samsung Display and other holdings in order to secure investment resources and improve its financial structure. Samsung SDI holds a 15.2% stake in Samsung Display, which exceeds 10 trillion won based on book value.

Mirae Asset Securities raised its target price for Samsung SDI this day from 500,000 won to 600,000 won. Kim Cheoljoong, an analyst at Mirae Asset Securities, said, "We derived the target price by summing a 5 trillion won valuation for the small battery business, 10 trillion won for the electric vehicle (EV) battery business, 31 trillion won for the energy storage system (ESS) business, 3 trillion won for the electronic materials business, and 10 trillion won for the stake in Samsung Display," adding, "Considering the launch of business with Tesla, which is the No. 1 player across all of its end-product categories, the improvement of the financial structure through the sale of the Samsung Display stake, and the resulting increased capacity for future investment, we believe there is no longer any reason for the stock to trade at a discount compared with its top global competitors."