[THE INVESTOR] Samsung Electro-Mechanics’ earnings will be boosted by the rise of MLCC prices, said KB Investment and Securities on Dec. 19, maintaining a “buy” recommendation and 140,000 won (US$128.68) target price.
The price in October rose 33 percent on-year and 6 percent from the previous month. As a result, the company’s earnings in the fourth quarter in 2017 and the first quarter of 2018 will beat market consensus, said analyst Kim Dong-won.
Its operating profit in the fourth quarter will rise 14 percent on-year to 117.3 billion won and in 2018 by 102 percent to 641.1 billion won, estimated the analyst.
From next year, it is expected to bag new orders with larger margins, he added.
By Hwang You-mee (firstname.lastname@example.org)