"Hanwha Solutions' U.S.-Focused Solar Business Expected to Shine"[Click e-Stock]

NH Investment & Securities Raises Target Price for Hanwha Solutions
from 34,000 Won to 43,000 Won

On August 11, NH Investment & Securities maintained its "Buy" investment rating on Hanwha Solutions and raised its target price from 34,000 won to 43,000 won.

Choi Younggwan, an analyst at NH Investment & Securities, stated, "The U.S. is further intensifying its policy of decoupling from China and fostering its domestic solar industry," adding, "Hanwha Solutions, which has secured the entire solar value chain in the U.S.—from ingot·wafer to cell to module—is expected to benefit."

In particular, analyst Choi expects Hanwha Solutions to benefit from the final version of Section 232 of the U.S. Trade Expansion Act announced on August 6 (local time). The U.S. has set the Minimum Import Price (MIP) for modules at $0.38 per watt. Currently, the average U.S. module import price is $0.27 per watt, while modules manufactured in the U.S. are priced at $0.31 per watt. As a result of this measure, U.S. module import volumes are expected to decrease, and the average module price is expected to rise.

He emphasized, "Hanwha Solutions' production facilities in the U.S. have a capacity of 3.3GW for ingot·wafer, 3.3GW for cell, and 8.4GW for modules. The benefit from higher module prices due to this measure will be fully realized across the 8.4GW module capacity," adding, "The effect of increased costs will be limited to externally sourced polysilicon. Considering the company produces cells directly in Korea and Malaysia, the cost increase for cell procurement is likely to be internally offset. Therefore, the company’s module manufacturing profitability is expected to improve."

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