[Click e-Stock] OCI Holdings Solidifies 'Space Supply Chain'...Target Price Set at 400,000 Won

Polysilicon Supply Contract Estimated with Global Space Company

Eugene Investment & Securities announced on August 6 that the story surrounding OCI Holdings' supply of polysilicon and wafers for space applications is materializing into concrete long-term agreements (LTAs), and maintained its investment opinion as 'BUY' with a target price of 400,000 won.

Sung-Hyun Hwang, a researcher at Eugene Investment & Securities, analyzed that the entire production capacity (35,000 tons) of OCI TRS's polysilicon for space will be essentially sold out through the new LTA. As a result, the company plans to double its production capacity to 70,000 tons by 2029, with construction starting in the second half of 2026. The counterparty for this LTA is presumed to be a global space company, and additional negotiations for an LTA are underway regarding the expanded output.

NST, which is responsible for the wafer business, is also expanding its production capacity from 2.7 gigawatts (GW) in 2026 to 11.5 GW by 2029. In particular, the company is advancing its wafer thinning technology, which is essential for space radiation resistance, thereby establishing a supply chain for space applications at both ends—polysilicon and wafers.

The third quarter performance is projected to record sales of 1.102 trillion won (up 31% year-on-year) and an operating profit of 115.6 billion won (returning to profit compared to the previous year). Hwang stated, "With the easing of policy uncertainties, new sales are expanding, and if additional LTAs are signed in the second half of the year, a full-fledged valuation rerating could take place."

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