[Edaily Reporter Kwon Oh Seok ] IBK Investment & Securities announced on the 20th that it is maintaining its “Buy” rating and target price of 1.75 million won for SamsungElectroMechanics(009150).

Kim Un-ho, an analyst at IBK Investment & Securities, said, “We expect SamsungElectroMechanics’ third-quarter earnings to exceed previous forecasts. We forecast revenue of 3.8 trillion won and operating profit of 666.8 billion won,” he said. “We have also raised our operating profit forecasts for 2027 and 2028 compared to previous projections. This is because we expect both revenue and profitability in the Package and Component divisions to improve simultaneously through product mix optimization and price increases, accompanied by improvements in production capacity driven by investment.”
Previously, SamsungElectroMechanics announced its plans for orders and investments through various disclosures in the second half of 2026. The disclosed MLCC-related orders amount to 4 trillion won when including silicon capacitors. He elaborated, “MLCC volume alone is expected to reach 2.4 trillion won in 2027. We view this as an indicator of a supply shortage,” adding, “For package substrates, the supply shortage was revealed through investment disclosures. “This is because investment is customer-driven and a minimum utilization rate is guaranteed,” he elaborated.
He continued, “The fact that this is projected for 2028 or later is even more encouraging, as it contradicts the recent view that memory demand will peak in 2027. However, uncertainty regarding revenue forecasts is growing due to interest rate hikes and a slowdown in the growth of large AI (artificial intelligence) models, and stock prices are reflecting this.”
He added, “Despite various signs of growth, concerns about growth are also mounting. The fact that this sentiment is spreading throughout the entire AI supply chain is also having a negative impact on the stock price,” noting, “Even though we revised our earnings estimates upward from previous forecasts, the lower valuation had a greater impact.”