Hana Securities maintained its 'Buy' rating and 150,000 won target price for RFHIC on the 23rd, despite the stock's sharp decline alongside the broader KOSDAQ index downturn. RFHIC's previous closing price was 44,950 won. Analyst Kim Hong-sik attributed the stock's 66% drop from its peak over three months to deteriorating investor sentiment and supply-demand imbalances rather than fundamental deterioration, noting that upcoming catalysts including the US Upper C-band spectrum auction remain on track. The recommendation comes as 2027 global 5G investment outlook remains positive and AI-RAN infrastructure investment demand accelerates.
Hana Securities Attributes RFHIC Decline to Market Sentiment Rather Than Fundamentals
Kim Hong-sik, analyst at Hana Securities, stated that RFHIC experienced a simple sympathetic decline following the KOSDAQ index drop, despite positive recent earnings trends and future outlook. The analyst emphasized that "at this point, it is necessary to objectively examine the fact that the stock price has fallen 66% from its peak in three months despite no particular negative factors." The firm's analysis identified simple deterioration in investment sentiment and supply-demand concerns as the drivers behind RFHIC's stock decline.
RFHIC Positioned for US Upper C-Band Auction and AI-RAN Investment Growth
Hana Securities highlighted that AI-RAN investment demand, which combines artificial intelligence with communications infrastructure technology, is accelerating. The firm stated that considering momentum order trends, the profit contribution from subsidiary RF Materials is expected to increase next year. RFHIC holds what the analyst described as a monopolistic position in the GAN TR sector when Samsung wins Verizon equipment orders in the US. The analyst noted RFHIC is a representative beneficiary of the US Upper C-band high-frequency spectrum auction.
Analyst Recommends Buying RFHIC Ahead of Anticipated Catalysts
Kim stated that "in a situation where the US Upper C-band auction, the strongest communications equipment investment foundation for 2027, is imminent, RFHIC's stock price has fallen significantly," adding that "it is time to consider buying in preparation for a second rise." Hana Securities maintained that the 2027 global 5G investment outlook remains bright, and the firm sees the current price level as an opportunity given the absence of specific negative factors affecting the company's fundamentals.
FAQ
What rating did Hana Securities give RFHIC stocks on the 23rd?
Hana Securities maintained its 'Buy' rating for RFHIC on the 23rd with a target price of 150,000 won, while the stock's previous closing price was 44,950 won.
Why did RFHIC stocks fall 66% from their peak according to Hana Securities?
Analyst Kim Hong-sik attributed RFHIC's 66% decline over three months to deteriorating investor sentiment and supply-demand imbalances following the KOSDAQ index drop, rather than any fundamental negative factors affecting the company.
