Jusung Engineering has surpassed Ecopro to become the second-largest company by market capitalization on the KOSDAQ. This shift is attributed to improved conditions in the semiconductor sector and expectations for increased facility investments by domestic memory companies, which have positively impacted semiconductor equipment stocks.
According to the Korea Exchange, as of 1:49 PM, Jusung Engineering's stock was trading at 236,000 won, up 3,000 won (1.29%) from the previous trading day. Its market capitalization exceeded 11 trillion won, allowing it to claim the second spot in KOSDAQ market cap, overtaking Ecopro.
The ranking of Jusung Engineering has risen sharply this year, climbing from 57th at the beginning of the year to 12th by the end of April, then to 5th by the end of May, and reaching 3rd just the day before, before hitting 2nd place during trading today.
The stock price has surged from 30,450 won at the start of the year to 232,500 won the previous day, marking a 663.5% increase this year.
The strong performance of semiconductor equipment stocks is influenced by expectations of expanded facility investments from Samsung Electronics and SK Hynix. According to Shinhan Investment Corp., the consensus for facility investments by Samsung Electronics and SK Hynix has been raised by 34% and 51%, respectively, compared to the beginning of the year.
Oh Kang-ho, a researcher at Shinhan Investment Corp., stated, "The sales of domestic front-end equipment manufacturers are closely tied to the growth rate of facility investments by domestic memory companies. Unless there are significant signs of profit decline in the memory sector, the likelihood of artificial production cuts or delays in expansion is extremely low."
Kim Rok-ho, a researcher at Hana Financial Investment, added, "The outlook for the equipment market continues to improve due to substantial expansions by semiconductor companies. Investments in the back-end processes by domestic memory companies are also gaining momentum, making it a favorable period for investment ideas in both front-end and back-end sectors."
* This article has been translated by AI.
Copyright ⓒ Aju Press All rights reserved.