[Feature Stock] Korea Circuit Jumps 10% on Expectations as Beneficiary of Broadcom Deals

On December 5, Korea Circuit showed strong performance in early trading. Investor sentiment appears to be focused due to optimistic earnings forecasts from securities firms.

As of 9:36 a.m. on this day, Korea Circuit was trading at 38,925 won, up 3,825 won (10.90%) from the previous trading day.

The buying trend is interpreted as a response to positive outlooks for Korea Circuit released by securities analysts.

Daishin Securities raised its target price for Korea Circuit by 37.5% to 55,000 won on this day, while maintaining its "Buy" investment rating.

Park Kangho, a researcher at Daishin Securities, predicted, "Korea Circuit may newly supply Broadcom with AI accelerator application-specific integrated circuit (ASIC) FC BGAs next year."

He added, "For further profitability improvement, Korea Circuit has developed FC BGAs for AI accelerator ASICs that require higher integration and reliability compared to previous products. The company is believed to have provided samples to Broadcom and is currently in the testing phase. If the results are positive, additional sales of FC BGAs for AI accelerator ASICs are expected to begin in the second half of 2026."

It is also analyzed that Korea Circuit's valuation is undervalued compared to other domestic printed circuit board (PCB) companies.

Researcher Park stated, "Korea Circuit's expected price-to-earnings ratio (P/E) for 2026 is 11.5 times. Based on consensus, Isu Petasys is at 39.8 times, Daeduck Electronics at 18.8 times, Simmtech at 20.1 times, TLB at 17.3 times, and Haesung DS at 12.8 times, indicating that Korea Circuit is perceived as undervalued in comparison."

This content was produced with the assistance of AI translation services.