J.P. Morgan South Korea FTM 12 Jun 26 Hanmi Semiconductor; Samsung SDI; Coupang; Korea Insurance; Asia Power Equipment and More

Research evidence excerpt

J.P. Morgan South Korea FTM 12 Jun 26 Hanmi Semiconductor; Samsung SDI; Coupang; Korea Insurance; Asia Power Equipment and More

Asia Pacific Equity Research

South Korea First to Market 12 June 2026

Top Stories

Hanmi Semiconductor (Sangsik Lee/Jay Kwon) (042700 KS, UW)

Too early to buy despite the memory capex upcycle; Raise PT to W200K, but remain UW

We raise Hanmi’s PT to W200K based on an elongated memory capex upcycle, but maintain UW as risk/reward continues to

point to unfavourable territory, in our view. While our downgrade thesis of differentiated thermal compression bonding (TCB) vs

memory economics has played out, we acknowledge we underestimated the magnitude and the duration of the memory capex

upcycle, lifting the entire semiconductor production equipment (SPE) share price sentiment. We continue to believe Hanmi’s

valuation premium of 62% vs backend peers is stretched, given our differentiating view on the high bandwidth flash (HBF)

opportunity and EPS upside from an elongated TCB lifecycle. We roll over our PT to Jun-27 and raise it to W200K based on

45x FY27/28E EPS, a 45% premium to backend peers and a similar range of premium since 2H23 (41%). We still believe the

stock has run ahead of its fundamentals and see an unattractive risk/reward. Maintain UW.

Samsung SDI (Sonny Lee) (006400 KS, OW)

Three key catalysts: US ESS opportunity, Europe EV recovery, and IEEPA tariff refund; stay

Overweight

ESS demand remains strong, with global shipments more than doubling y/y in 4M26 and our regional utility team forecasting

78% y/y growth in 2026 (ex-China +66% y/y). For Samsung SDI (SDI) and Korean suppliers, the US presents a key opportunity

as OBBBA regulations drive share shift from Chinese to Korean players; SDI is expanding ESS capacity to 29GWh by end-

2026.