Kiwoom Securities on the 20th said Hanwha Vision is expected to post a first-quarter earnings surprise this year. It maintained a "Buy" recommendation and a target price of 120,000 won, and recommended it as a top pick in the semiconductor sector. Hanwha Vision's previous trading day closing price was 79,300 won.

Hanwha Vision announces on the 27th that it unveils the AI-based next-generation video management solution BLAZE at ISC WEST 2026, the largest security exhibition in the United States, held in Las Vegas. The photo shows the Hanwha Vision booth at ISC WEST 2026. /Courtesy of Yonhap News

Kiwoom Securities forecast Hanwha Vision's first-quarter results this year at 442.7 billion won in revenue and 18.5 billion won in operating profit. Kiwoom Securities had initially projected 402.7 billion won in revenue and 8 billion won in operating profit for the first quarter this year, figures that this would significantly exceed.

Park Yuak, an analyst at Kiwoom Securities, said, "CCTV sales to Europe are increasing sharply, and the profitability of consolidated subsidiary Hanwha Semitec is improving, so an earnings surprise is expected," adding, "In addition, the rise in the won-dollar and won-euro exchange rates will also have a positive effect on first-quarter results."

By business segment in the first quarter this year, revenue is expected to be 357.4 billion won for security and 85.3 billion won for industrial equipment.

Second-quarter results are also expected to grow sharply to 487.1 billion won in revenue and 42.9 billion won in operating profit.

Park said, "Also in the second quarter, SK hynix's long-delayed TC bonder orders are expected to begin, so we judge that investor views on the outlook for the second half of this year and 2027 will turn favorable."

Hanwha Vision's share price had been undergoing a period of consolidation due to fatigue from the surge since year-end and the delay in TC bonder orders for SK hynix. However, going forward, the stock's upward momentum was expected to resume.

Park said, "Given the earnings surprise in the security segment and the visible turnaround in Hanwha Semitec's results, we judge that the stock's upward momentum will resume," adding, "It should also be kept in mind that Hanwha Vision's share price is significantly undervalued compared with domestic competitors."

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