Samsung SDI's Shares Fall for Second Day, Tracking U.S. EV Stocks
By Kwanwoo Jun
Samsung SDI's shares were lower for a second consecutive session, in line with retreating U.S. electric-vehicle stocks, and paring most of gains made earlier this week on its plan to produce next-generation batteries.
Shares of the South Korean battery supplier for U.S. and other global EV manufacturers fell as much as 4.9% to 424,000 won ($320.08) in early trade Friday, extending losses after the prior session's 2.9% slide and underperforming the benchmark Kospi's 1.0% fall.
The retreat came after U.S. EV makers took a beating overnight on Wall Street. EV startup Fisker slumped 52% Thursday, as it prepares for a possible bankruptcy filing amid sluggish EV sales and a liquidity crunch. U.S. EV giant Tesla also fell 4.1% Thursday, its second straight day of losing more than 4%.
Seoul-based KB Securities analyst Kang Seong-jin said in a research report Friday that EV battery-suppliers are taking a hit from a slower-than-expected customer shift to EVs globally and also the recent decline in prices for both new and used EVs.
But Kang expects major global original equipment manufacturers to resume their delayed battery purchases possibly from the second half of 2024 on likely rebounding prices for EVs. He expects prices for EV batteries to also pick up from the third quarter.
Samsung SDI's retreat erased much of its gains Tuesday, when it surged 11% after outlining a plan to mass-produce all-solid-state batteries from 2027-- ahead of its industry rivals. Unlike conventional EV batteries with liquid-type electrolytes, the new EV batteries use solid electrolytes to ensure better safety and higher energy density.
Still, the stock gained 0.5% for the week and more than 10% in the past month, according to FactSet.
Write to Kwanwoo Jun at kwanwoo.jun@wsj.com
(END) Dow Jones Newswires
March 15, 2024 00:08 ET (04:08 GMT)
Copyright (c) 2024 Dow Jones & Company, Inc.-
Six Sports Betting and iGaming Stocks Trading at a Discount
-
4 Predictions for Stocks and the Economy for the Second Half of 2024
-
What Broadening Rally? AI Stocks Dominate Again In Q2
-
After Earnings, Is Nike Stock a Buy, a Sell, or Fairly Valued?
-
Worst-Performing Stock ETFs of the Quarter
-
Top-Performing Stock ETFs of the Quarter
-
Q2 In Review and Q3 2024 Market Outlook
-
5 Stocks to Buy for 3Q 2024
-
Industrials: Sector Offers Investment Opportunities as Performance Lags Broader Market
-
Consumer Defensives: Even Amid Macro Pressures, Deals Permeate the Landscape
-
33 Undervalued Stocks
-
Utilities: Can the Stocks Keep the Rally Going?
-
Basic Materials: Following Index Decline, We See Many Long-Term Opportunities
-
Healthcare: Valuations Look Attractive In Most Industries
-
Financial Services: Amid Uncertainties, We See the Most Value In Banks and Credit Services
-
Consumer Cyclicals: Even With Anxiety Over Spending, We See Attractive Valuations