06 066970.KS L&F Co., Ltd. Loading... : Bullish and Bearish Analyst Opinions

In the secondary-battery rotation, the strongest names were Samsung SDI and L&F. L&F surged 16% on heavy volume, then pulled back on lower volume while institutions and strong hands had bought the spike and did not sell into weakness, indicating it can go higher. Park says the tradeable setup is buying the strongest sector leaders on pullback rather than chasing the initial move.

LNF is poised for a turnaround as rising lithium prices will lead to inventory valuation gains in Q3, its factories are running at full capacity, and shipments of LFP cathode materials for ESS and 4680 cylindrical batteries will begin in earnest.

Samsung SDI's recent stake sale in Samsung Display provides cash that will likely be used for CAPEX, such as solid-state battery investments in the US. This expected capital expenditure benefits secondary battery equipment and material suppliers.

These companies will benefit from Samsung SDI's capex expansion, which is being funded by its recent stake sale in Samsung Display.

The secondary battery sector appears to have confirmed its bottom, supported by rebounding lithium prices and Samsung SDI securing 4 trillion KRW in cash to invest in the US ESS market.

Korean secondary battery names are very positive because ESS is becoming tied to AI data centers and national security; US restrictions on Chinese components may create shortages by 2027, benefiting Korean companies with US factories and vertical integration, while Tesla's recovery, EV momentum and oil volatility add demand; the speaker sees Samsung SDI as the leader and also flags LG Energy Solution, SK On, L&F and POSCO Future M as names to check, focusing on Samsung SDI and material and component names.

Secondary battery companies are attractive due to the expected shortage of ESS (Energy Storage Systems) by 2027, driven by AI data center demand and US regulations excluding Chinese products, which will heavily benefit Korean ESS suppliers.

While battery cells are preferred, materials have their own recovery timelines. LNF is attractive for the short term due to high-nickel and 46-series shipments, while Ecopro BM is a medium-term play based on its Hungary plant operations starting in late 2024.

Secondary battery stocks have recently rallied and are showing improving trends. Yu Chang-hee specifically notes SK Innovation, Samsung SDI and L&F are moving well, suggesting the sector is participating in the market's broader recovery.

POSCO Future M converted an existing line to LFP and secured a 190,000-ton LFP cathode contract worth about 3 trillion won over six years, implying roughly 500 billion won of annual revenue; FEOC rules require cell makers to source around 80 percent non-China cathode, so LFP cathode supply should stay tight and benefit POSCO Future M and L&F.

Secondary battery stocks are showing signs of bottoming out. While they lack fresh momentum, their charts are aligning into a moving average convergence, making them viable for trading.

Secondary battery materials have fallen back to the October ESS rally base, even though industry conditions are better now; L&F, POSCO Future M and EcoPro BM are bottoming and can rise 20-30% before one needs to reconsider, making current levels a trading buy.

Secondary battery stocks are quietly turning higher. Samsung SDI has completed a trend reversal and is testing the 60-day and 120-day moving averages; if it settles above 500,000 won, it can rise toward 600,000 won. L&F has broken out, while EcoPro and POSCO Future M show similar patterns, and POSCO Holdings is trying to break out of its box range.

Secondary battery stocks like Samsung SDI, L&F, and POSCO Holdings are finally showing clear signs of a technical trend reversal. They are breaking through moving averages and looking much better after a long period of underperformance.

LNF and POSCO Future M are seeing earnings improvements due to their fast transition to ESS and LFP batteries, while EcoPro BM is struggling due to its slow transition and reliance on high-nickel EV batteries.

L&F quickly shifted to LFP cathode materials for the booming ESS market, driving Q2 revenue up 70% YoY and a return to operating profit. North American ESS demand surged 83% YoY in H1 2025, and US anti-China battery policies favor Korean LFP suppliers over Chinese competitors.

Korean secondary battery stocks have suffered from supply damage but the worst is now behind them. Samsung SDI reported surprisingly good earnings, and LNF posted solid net profit. LNF already bounced 25% from its bottom, and the sector has further room to recover as the swing trade continues.

Secondary battery stocks reported decent Q2 earnings overall, and Q3 expectations are building. Samsung SDI lagged early but rallied nearly 5% late, and material names like L&F also moved, indicating a tradeable bounce is underway.

Secondary battery material stocks like L&F and EcoPro BM are set to rebound as lithium prices are showing signs of bottoming. Albemarle's price is turning up, signaling lithium recovery. Material companies benefit more from rising lithium than cell makers. L&F has already found a bottom and shows strength in LFP cathode, while EcoPro BM holds support. Trading dips in these names offers opportunities.

L&F가 하이니켈 양극재 판매 확대에 힘입어 영업이익 흑자전환 및 분기 역대 최대 매출을 기록했다. 특히 테슬라 46파이 제품향 출하가 실적을 견인했으며, 중국 업체가 진입하기 어려운 초고니켈(9반) 양극재에서 독보적 지위를 확보하고 있다.

Secondary battery names like L&F, EcoPro and EcoPro BM are bottoming after heavy damage, building a price base and preparing to turn higher. The risk-reward supports short-term trades as they recover from extreme undervaluation.

Battery makers are securing massive solar-linked ESS projects to meet the surging power demands of AI data centers, highlighted by LG Energy Solution winning a huge order from Google.

Battery recycling mandates being adopted in US states will increase the end-of-life cost of LFP batteries because they mainly contain low-value lithium, while NCM batteries contain nickel, cobalt and lithium with much higher recycling value. The added recycling costs will shift relative system-level cost advantages away from LFP and toward ternary batteries, benefiting the Korean NCM cathode supply chain.

Samsung SDI and L&F have already completed their rights offerings (SDI last year, L&F recently), so they are outside the dilution risk zone. Their completed capital raises become a competitive advantage as other battery names may still face offerings, and they are positioned for a rebound.

Samsung SDI and LNF already completed their rights offerings last year, so they will not be dragged down by Ecopro BM's dilution shock. They are positioned to rebound.

Tesla's Q2 delivery numbers are expected to beat consensus, driven by recovery in China and Europe despite weak US sales. A strong delivery figure will revive sentiment for Korean secondary battery stocks (LG Energy Solution, L&F, Samsung SDI), which are heavily beaten down and have low Q2 earnings expectations but are poised for a gradual H2 recovery. The setup provides buying opportunities on dips, though chasing spikes is risky.

Tesla's Q2 delivery numbers are expected to beat consensus due to recovery in China and Europe. This recovery will positively impact domestic secondary battery and ESS companies like LG Energy Solution, LNF, and Samsung SDI, which are bottoming out.

The secondary battery sector has been extremely oversold, down 30-35% from highs, and is showing a strong bottoming signal with today's sharp bounce on modest volume, indicating thin supply and exhausted sellers. US demand news (Tesla demand outlook, Korean market share near 90%) and LG Energy Solution's expected Q2 profit turnaround provide fundamental support. Leading stocks Samsung SDI and EcoPro have held key support levels, and the sector's high-beta names like POSCO Future M and LNF are also rebounding. He believes this marks the start of a meaningful recovery ahead of a real demand pickup in 2025.

Korean secondary battery stocks (Samsung SDI, EcoPro, EcoPro BM, L&F) have corrected sharply without accompanying earnings downgrades, reaching oversold levels; Samsung SDI is particularly well-positioned with its ESS and European EV battery exposure, while potential CATL regulation provides further tailwind.

L&F is declining with the 5-week moving average as resistance, in a downtrend since May.