South Korean Component Stocks Reveal Diverging Fortunes Ahead of Apple Foldable iPhone Unveiling
Investors are eagerly anticipating Apple's first foldable iPhone unveiling, which has sent South Korean component stocks surging. However, analysts warn that buying related stocks based on vague expectations carries significant risk due to limited sales penetration.
The market projects initial foldable iPhone sales at 6-7 million units, accounting for only about 5% of Apple's annual iPhone volume.
While Samsung Display has secured an exclusive supply agreement with Apple for the first foldable iPhone's OLED panels, its earnings outlook is not expected to be dramatically altered due to the small portion of revenue generated by foldable panel sales.
BH Co. and Duksan Neolux are identified as leading earnings beneficiaries, with BH Co.'s foldable-related revenue projected to grow 79% from 145.6 billion won this year to 260.4 billion won next year.