1. What Happened?: ITIChem Designated as Investment Warning Stock

On September 23, 2025, ITIChem was designated as an ‘Investment Caution’ or investment warning stock. This is interpreted as a market warning signal in response to the recent surge in stock price.

2. Why?: Reasons for the Surge and Fundamental Analysis

ITIChem is showing growth potential in pharmaceutical materials (oligopeptides, oligonucleotides) and OLED electronic materials. There has been positive news, such as the OLED material supply contract with LG Chem and investment from UDC Ventures LLC. However, the increase in consolidated debt and debt-to-equity ratio based on the 2025 semi-annual report represents a financial risk.

3. What’s Next?: Short-Term/Long-Term Impact Analysis

  • Short-Term Impact: Weakening investor sentiment, increased stock price volatility, potential trading volume fluctuations.
  • Long-Term Impact: Continued growth in core businesses, with financial soundness improvements determining the stock price direction.

The designation as an investment warning stock itself does not damage the company’s fundamentals. Rather, the current stock price correction could be a buying opportunity from a long-term perspective.

4. What Should Investors Do?: Investment Strategies and Key Checkpoints

The investment recommendation is ‘BUY’ (with reservations). Investors should pay attention to short-term stock price volatility and continuously monitor the growth of core businesses and improvements in financial soundness. Pay particular attention to the following:

  • Plans to strengthen financial soundness and their implementation status.
  • Sales growth and profitability contribution of new businesses (OLED, pharmaceutical materials).
  • Strategies for managing foreign exchange volatility.
  • Response to external environmental changes such as rising logistics costs.