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(Photo=POSCO FutureM) |
[Alpha Biz= Reporter Paul Lee] NH Investment & Securities predicted on the 26th that POSCO FutureM, a secondary battery material company, will not meet market expectations in the second quarter of this year due to sluggish sales of electric vehicles. NH Investment & Securities maintained its investment opinion 'Buy' for POSCO FutureM, but lowered its target price from 400,000 won to 380,000 won. POSCO Future M's closing price on the previous day is 280,500 won.
POSCO Future M's biggest burden is that demand for electric vehicles has declined. Global sales of electric vehicles (xEV) were expected to reach 17.77 million units this year, but the eye level has now been lowered to 16.65 million units. POSCO Future M also decided to adjust the speed of investment in positive and negative material facilities in line with this trend.
"Although anode material N86 products are being sold steadily with Ultium Cells (LG Energy Solution and GM Joint Venture), sales of anode material N65s for European customers will inevitably remain sluggish due to low utilization rates," said NH Investment & Securities. "We need to make sure that some of the N65 plants are converted into high-nickel anode production lines within the year."
Although POSCO Future M turned to surplus in the first quarter of this year, it reversed some of the N65 inventory valuation losses (KRW 46.7 billion) that were reflected in its books in the fourth quarter of last year.
AlphaBIZ Paul Lee(hoondork1977@alphabiz.co.kr)
