Hanwha Investment & Securities said on the 26th that interest needs to expand in Intellian Technologies, which provides a range of antenna packages to the non-Starlink camp, as several countries pursue a strategy to diversify suppliers to ease the concentration on Starlink.
At the same time, it raised Intellian Technologies' target price to 98,000 won from 68,000 won and maintained a buy rating. Intellian Technologies' closing price in the previous session was 75,700 won.
Intellian Technologies' sales in the fourth quarter of last year are estimated at 119.6 billion won, up 55.2% from a year earlier, with operating profit turning to a surplus at 9.8 billion won. Fourth-quarter maritime sales were 61.9 billion won, and about 25% of that likely came from low Earth orbit (LEO) flat-panel antennas for maritime use.
Bae Seong-jo, an analyst at Hanwha Investment & Securities, said, "The acceleration of OneWeb's global coverage buildout and rising demand for hybrid services (multi-orbit usage) such as Inmarsat's NexusWave are contributing to a recovery in the maritime market."
Hanwha Investment & Securities projected that this year Intellian Technologies' sales and operating profit will be 386.4 billion won, up 22.7% from the previous year, and 31.7 billion won, a 1,564.9% surge, respectively. Bae said, "Investors' attention is focused on Starlink, but there is a need to expand interest to the non-Starlink camp such as OneWeb, Amazon, SES, Telesat, and AST SpaceMobile," adding, "This is because Europe, Canada and others are pursuing supplier diversification strategies to ease the concentration on Starlink."
He emphasized that this is a valid time to expand interest in Intellian Technologies, which provides a variety of antenna packages such as VSAT, flat-panel, and gateways to the non-Starlink camp.
Bae said, "Gateway sales will grow more than 20% this year," adding, "In Dec. last year, we won an additional 86 billion won order from Company A, and at least through the first quarter of next year, volumes to be delivered are already in backlog." He also noted the situation of proceeding with gateway orders from Telesat (29 billion won) and AST (28 billion won).
Bae said, "Going forward, there is room to expect participation in the gateway project for Eutelsat OneWeb's second-generation satellite constellation." He added, "Military and aviation sales will also gradually join in, contributing to improved investor sentiment."