Korea Stock Market Insights

Tag: Pellicle

  • S&S Tech Stock Forecast: Mirae Asset Acquires 5% Stake – Is it a Buy Signal?

    What Happened?

    On August 19, 2025, Mirae Asset Management announced an increase in its S&S Tech holdings from 4.96% to 5.00%. Including Mirae Asset Discovery Securities and Mirae Asset Independence Private Equity Fund, they now hold a total of 1,065,726 common shares.

    Why Does It Matter?

    Stake changes by large institutional investors like Mirae Asset often attract market attention. Especially with S&S Tech’s increasing investment in EUV-related businesses, Mirae Asset’s stake acquisition can be interpreted as a positive assessment of the company’s growth potential.

    What’s Next?

    Short-Term Impact

    • Positive: Increased institutional investor interest may provide short-term upward momentum for the stock price.
    • Neutral: The small change in stake may not directly impact the company’s fundamentals.

    Long-Term Impact

    • EUV Business Performance: The success of the EUV business will be key to the stock’s future direction.
    • Fundamental Improvement: Improvements in sales and profitability could further encourage institutional investment.

    What Should Investors Do?

    • Monitor Performance: Keep an eye on S&S Tech’s H2 2025 and future earnings, particularly the performance of its EUV business.
    • Consider Macroeconomic Factors: Factor in the influence of macroeconomic variables such as interest rates and exchange rates.
    • Watch for Further Disclosures: Monitor any further stake changes by Mirae Asset.

    Frequently Asked Questions

    Is Mirae Asset’s investment a positive sign for S&S Tech’s stock price?

    It may provide positive momentum in the short term, but the long-term trajectory depends on the success of the EUV business and improvements in fundamentals.

    What is the outlook for S&S Tech’s EUV business?

    Market expectations are high, but concrete results are yet to be seen. Future earnings announcements will provide more clarity.

    What should investors consider before investing in S&S Tech?

    Investors should consider the EUV business performance, fundamental improvements, and macroeconomic factors before making any investment decisions.

  • FST (036810) H1 2025 Earnings Report Analysis: Riding the AI Wave, but Challenges Remain

    1. FST H1 2025 Performance: Growth and Loss

    FST recorded revenue of KRW 144.5 billion (a 43.2% YoY increase) and operating profit of KRW 4.5 billion (turning to profit) in H1 2025. However, net loss persisted at KRW -3.8 billion, presenting a mixed picture.

    2. Drivers of Growth: AI and Advanced Semiconductors

    The growth is driven by the expansion of the AI market and increasing demand for advanced semiconductors. Both the pellicle business (revenue KRW 78.8 billion, +54% YoY) and chiller business (revenue KRW 64.5 billion, +37% YoY) showed strong growth. Active R&D investment (10.52% of revenue), focusing on EUV pellicles, next-generation DUV pellicles, and cryogenic chillers, is a positive sign for future growth.

    3. Profitability Improvements and Challenges: Why the Net Loss?

    Despite achieving positive operating income, FST’s net loss continues due to non-operating expenses, including losses from investments in associates. This is a key point for investors to consider. While FST is working on improving profitability, tangible results are yet to be seen.

    4. Investing in FST: Opportunities and Risks

    FST is well-positioned to benefit from the growth of the AI market. However, the continued net loss, semiconductor market volatility, and intensifying competition are key risks to consider. Investors should focus on long-term growth potential and profitability improvement rather than short-term fluctuations.

    5. Action Plan for Investors

    • Short-term investors: Closely monitor the timing of net income turning to profit and the management of non-operating expenses.
    • Long-term investors: Focus on analyzing the potential benefits from AI market growth, competitiveness in the pellicle and chiller markets, and new technology development achievements to formulate an investment strategy.
    Q: What are FST’s main businesses?

    A: FST manufactures pellicles and chillers, essential components in the semiconductor manufacturing process. Pellicles are thin films that protect semiconductor chips from contamination, and chillers control the temperature during the manufacturing process.

    Q: How was FST’s performance in H1 2025?

    A: FST reported revenue of KRW 144.5 billion (up 43.2% YoY) and operating profit of KRW 4.5 billion (turned to profit). However, the company continued to report a net loss of KRW -3.8 billion.

    Q: What are the key considerations when investing in FST?

    A: Investors should consider the continued net loss, semiconductor market volatility, and intensifying competition. Monitoring the management of non-operating expenses, particularly losses from investments in associates, is crucial.