"BH Should Be Seen as a Robotics Parts Supplier Beyond iPhone Components" [Click e-Stock]

iM Securities Raises Target Price from 30,000 Won to 55,000 Won
"Significantly Undervalued When Viewed as a Humanoid Parts Supplier"

On May 27, iM Securities announced that it had raised its target price for BH from 30,000 won to 55,000 won.

Ko Euiyoung, an analyst at iM Securities, recently stated, "The current share price of BH can be sufficiently explained from the perspective of being an iPhone parts supplier. If opportunities for supplying flexible printed circuit boards (FPCBs) for robotics are added, the possibility of further multiple expansion increases."

According to Ko, FPCBs serve as a neural network connecting various modules such as power modules, battery packs, sensing systems, and microphones. Humanoid robots are composed of multiple joints—including the head, arms, wrists, fingers, and legs—where sensors and components in each part must exchange electrical signals, and FPCBs perform this role.

He argued that it is more important to focus on the direction of the total addressable market (TAM) than its absolute size. He added, "Given forecasts that global shipments of humanoid robots will significantly increase after this year, new application opportunities may open up for FPCB companies to reduce their dependence on smartphones. In this case, opportunities could also arise for Korean FPCB companies, including BH."

In particular, he noted that humanoid robots are highly likely to be linked to geopolitical issues such as U.S.-China tensions, and it cannot be ruled out that Western companies may restrict sourcing of Chinese-made components. He continued, "Considering that a significant portion of global FPCB production is concentrated in China, the strategic value of Korean companies as non-Chinese suppliers could be highlighted."

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