SK ie technology stock falls nearly 8% amid weak Q3 results

SKIET CI

Shares of SK ie technology (SKIET), a subsidiary of SK innovation specializing in lithium-ion battery separators, dropped nearly 8 percent in early trading on Tuesday following disappointing third-quarter results and subsequent target price downgrades by several brokerages. As of 9:35 a.m., SKIET shares were trading at 31,650 won ($22.96), down 7.99 percent from the previous day.

The company reported third-quarter revenue of 50.8 billion won, down 72 percent from last year, with an operating loss of 73 billion won, significantly below market expectations. In response, major brokerage firms adjusted their target prices: KB Securities lowered its target from 45,000 won to 38,000 won, NH Investment & Securities from 49,000 won to 46,000 won, Samsung Securities from 43,000 won to 39,000 won, SK Securities from 75,000 won to 54,000 won, and Shin Young Securities from 87,000 won to 46,000 won.

NH Investment & Securities analyst Ju Min-woo projected further challenges for SKIET in the fourth quarter, expecting revenue of 55.1 billion won and an expanded operating loss of 99.1 billion won. He noted that while separator sales may see a slight increase, profitability will likely suffer due to year-end cost adjustments.

Meanwhile, HEM Pharma, a microbiome-focused company that went public on the Kosdaq market on Tuesday, saw its stock drop approximately 16 percent from its IPO price. By 9:14 a.m., HEM Pharma shares were trading at 19,270 won, down 16.22 percent from the offering price of 23,000 won. The company specializes in customized healthcare solutions and probiotic-based pharmaceuticals using its proprietary gut microbiome simulator, PMAS, as part of its platform business.