"Investors Focused Only on Samsung Electronics and SK hynix Missed It": Samsung Electro-Mechanics Soars 10-Fold in a Year Under Lee Jae Myung

\r\n
[Financial News] Since President Lee Jae Myung took office, the KOSPI stock that has risen the most in the domestic market has been Samsung Electro-Mechanics. Market experts say the sharp rally reflects a revaluation of the company as a key supplier of AI infrastructure components.
According to the Korea Exchange (KRX) on the 25th, Samsung Electro-Mechanics shares surged 1,009.27% from June 4 last year, the day Lee took office, through the 22nd. Over the same period, SK Square rose 974.34%, Daeduck Electronics gained 911.36%, and Korea Circuit Co., Ltd. climbed 900.00%. SK hynix ranked fifth with a 835.42% increase, while Samsung Electro-Mechanics preferred stock rose 720.98%. SEC advanced 414.96%.
The market views the rally as part of a structural uptrend that has spread across the AI supply chain. In fact, most of the top gainers are companies in the memory-related substrate, packaging, and multilayer ceramic capacitor (MLCC) value chain. That means investor money has flowed into AI bottleneck components rather than finished products.
Samsung Electro-Mechanics has been revalued in particular because it is positioned to benefit simultaneously from the expansion of the AI server, autonomous driving, and automotive parts markets. The company produces MLCCs, FC-BGA package substrates, and camera modules. As AI servers and autonomous vehicles become more advanced, both the number of required components and their unit prices rise.
Ji Hyeon Hwang, a researcher at NH Investment & Securities, raised the target price for Samsung Electro-Mechanics from 1.5 million won to 1.7 million won and said, "As autonomous driving advances, both the price (P) and volume (Q) of components produced by Samsung Electro-Mechanics will rise sharply." She added, "Each step up in autonomous driving level increases the number of MLCCs installed per vehicle by about 1,000."
\r\nThe expansion of the AI semiconductor packaging market is also seen as a key factor behind the stock's surge. Lee Chang-min, a researcher at KB Securities, said, "Samsung Electro-Mechanics recently signed a 160 billion won supply deal for silicon capacitors," adding that "a new growth engine has been added." He noted, "Demand for silicon capacitors is rising in areas that require extremely high performance, such as AI accelerators," and forecast that "Samsung Electro-Mechanics will strongly benefit from the AI super cycle in the field of embedded substrates, where silicon capacitors are built into package substrates."
What investors are watching most closely is the pace of earnings growth. NH Investment & Securities expects Samsung Electro-Mechanics' operating profit to jump from 913 billion won last year to 1.707 trillion won in 2026 and 3.007 trillion won in 2027. KB Securities also projected operating profit of 3.273 trillion won for 2027.
A securities industry official said, "The essence of this rally is that AI infrastructure bottleneck component companies have begun to command a bigger premium than memory semiconductors." The official added, "Samsung Electro-Mechanics is a rare company that has both AI server substrates and automotive MLCCs, as well as autonomous driving camera modules, and that has led investors to revalue it."
\r\n
\r\n
\r\n\r\n
\r\n
dschoi@fnnews.com Choi Du-seon Reporter