Seo Ji-beom, a researcher at Shinhan Investment & Securities, said on the 2nd that SIMMTECH entered a full-fledged recovery phase, starting with a swing to profit in the second quarter of this year (April–June). The investment opinion was "buy," with a target price of 57,000 won.
The biggest factor is the rebound in the semiconductor industry. In the second quarter of this year, SIMMTECH's utilization rate was 70%, reaching the break-even point (BEP).
Seo said, "SIMMTECH's first-half revenue from memory module substrates grew 19% from the same period a year earlier, and revenue from package substrates grew 3%, entering a recovery trend," and noted, "In the second half, sales of high value-added substrates that apply the 'mSAP' process are expected to expand." Seo added, "With the Japanese subsidiary beginning full-scale mass production of GDDR7, we also expect performance improvement on a consolidation basis following the swing to profit."
Seo also viewed positively the expectation that SIMMTECH will generate revenue from 2026 in new growth drivers such as SoC CAM and Compute Express Link (CXL).
Seo said, "SIMMTECH has secured new growth drivers in addition to the recovery in memory and package substrate performance," adding, "With information technology (IT) demand improving, it is time to focus on accelerated growth through 2026."