Corporate Logo(source: samsungsem.com)
Samsung Electro-Mechanics(009150) is trading sharply higher, buoyed by brokerage assessments that AI-driven demand is increasingly reflected in the company’s earnings.
As of 9:16 a.m. on December 5, the stock was trading at 240,500 won, up 14,500 won (6.42%) from the previous session.
DB Financial Investment projected that the company’s fourth-quarter operating profit will come in at 231 billion won, up 100.8% year-on-year and slightly above consensus. Analyst Cho Hyun-ji noted that “favorable won–dollar exchange rates will have a sizable impact,” adding that MLCC utilization is expected to reach 91%, with average selling prices rising 4% from the previous quarter and shipments declining 6%.
Cho stated that balanced qualitative and quantitative growth in both components and packages is expected next year. “ASIC chips consume large amounts of power and have significant instantaneous current fluctuations, which require increased MLCC usage to ensure stable power and current supply,” she said.
She added, “MLCC content in GPUs has historically increased about tenfold across generational transitions—roughly from 2,000 to 20,000 to more than 300,000 units. As the ASIC market expands, so will the MLCC market, tightening supply for server-use MLCCs.”
Cho further noted that if ASIC-driven volume growth and its trickle-down effects exceed current expectations—tightening supply-demand conditions from ‘tight’ to ‘shortage’—price increases for server-use MLCCs and subsequent upward revisions to operating profit estimates would be “entirely plausible.”
She also said that FCBGA contracts with multiple server customers and capacity allocation through 2027 appear to have been completed, with utilization expected to rise from about 65% this year to full capacity in 2027, contributing to earnings growth.
“Samsung Electro-Mechanics is seeing rapid growth in server revenue across both its component and package-solution divisions, sustaining its earnings momentum,” she said, adding that “AI-driven expectations are increasingly reflected in financial results.”
*[KOSPI] Samsung Electro-Mechanics(009150) engages in component business producing passive components(MLCC, chip inductors, chip resistors), optical communication solution business producing camera modules/communication modules, and package solution business producing semiconductor package substrates. The market capitalization is 16.846 trillion won (as of November 24, 2025, closing price).
Corporate Logo(source: samsungsem.com)
Samsung Electro-Mechanics(009150) is trading sharply higher, buoyed by brokerage assessments that AI-driven demand is increasingly reflected in the company’s earnings.
As of 9:16 a.m. on December 5, the stock was trading at 240,500 won, up 14,500 won (6.42%) from the previous session.
DB Financial Investment projected that the company’s fourth-quarter operating profit will come in at 231 billion won, up 100.8% year-on-year and slightly above consensus. Analyst Cho Hyun-ji noted that “favorable won–dollar exchange rates will have a sizable impact,” adding that MLCC utilization is expected to reach 91%, with average selling prices rising 4% from the previous quarter and shipments declining 6%.
Cho stated that balanced qualitative and quantitative growth in both components and packages is expected next year. “ASIC chips consume large amounts of power and have significant instantaneous current fluctuations, which require increased MLCC usage to ensure stable power and current supply,” she said.
She added, “MLCC content in GPUs has historically increased about tenfold across generational transitions—roughly from 2,000 to 20,000 to more than 300,000 units. As the ASIC market expands, so will the MLCC market, tightening supply for server-use MLCCs.”
Cho further noted that if ASIC-driven volume growth and its trickle-down effects exceed current expectations—tightening supply-demand conditions from ‘tight’ to ‘shortage’—price increases for server-use MLCCs and subsequent upward revisions to operating profit estimates would be “entirely plausible.”
She also said that FCBGA contracts with multiple server customers and capacity allocation through 2027 appear to have been completed, with utilization expected to rise from about 65% this year to full capacity in 2027, contributing to earnings growth.
“Samsung Electro-Mechanics is seeing rapid growth in server revenue across both its component and package-solution divisions, sustaining its earnings momentum,” she said, adding that “AI-driven expectations are increasingly reflected in financial results.”
*[KOSPI] Samsung Electro-Mechanics(009150) engages in component business producing passive components(MLCC, chip inductors, chip resistors), optical communication solution business producing camera modules/communication modules, and package solution business producing semiconductor package substrates. The market capitalization is 16.846 trillion won (as of November 24, 2025, closing price).