[THE INVESTOR] Innox Advanced Materials will continue to rise fast until 2019 on the back of fast growing sales of OLED panels, said Kyobo Securities on Nov. 27, maintaining a “buy” recommendation and 110,000 won (US$101.11) target price.
Its OLED revenue is picking up outpacing estimates, and will more than offset the decline in FPCB sales, said analyst Kim Gap-ho.
He adjusted fourth-quarter earnings estimate to 90.3 billion won for revenue and 14.0 billion won operating profit, and estimated that its revenue in 2018 will jump 35.5 percent to 432.2 billion won and operating profit by 74.7 percent to 70.5 billion won.
Sales of OLED will double to 144.4 billion won next year, as the country’s small- and medium-sized OLED industry prioritizes sourcing materials at home and Innox will benefit the most, said the analyst, underlining that its stock price is seriously undervalued.
By Hwang You-mee (firstname.lastname@example.org)