TL TLB Loading... : Bullish and Bearish Analyst Opinions

TLB, a PCB substrate company, is currently showing relative weakness within its peer group. For TLB to break out, other substrate names like Daeduck Electronics, Korea Circuit, and Simmtech need to lead first. Therefore, TLB is likely to take a long time to recover and requires patience and monitoring.

TLB is a key beneficiary of the AI agent trend which increases CPU and DRAM usage, driving demand for socket substrates. The current price dip is a buying opportunity to lower cost basis, as the long-term fundamentals remain strong.

Semiconductor equipment and materials (소부장) stocks such as Simtech, Korea Circuit, Daeduck Electronics, TLB, and others have weakened recently due to a temporary supply-demand imbalance caused by the listing of single-stock leveraged ETFs. This is a technical, not fundamental, issue. Once the rebalancing is complete (about a week), these stocks should rebound as fundamentals remain strong. Key sub-sectors include substrates, packaging, glass substrates, EMIB, CPO, and GaN/SiC power semiconductors. Among them, Korea Circuit and Haesung DS are relatively undervalued, while Daeduck Electronics and Simtech have high earnings expectations.

Substrate (기판) suppliers are in a powerful upcycle: capacity is constrained, demand is surging due to larger and multi-layer substrates for AI chips, and raw material costs are rising, pushing average selling prices up more than 20% in Q1. The trend is expected to continue into the second half. Leading companies include Simmtech, TLB, Korea Circuit, Daeduck Electronics, and ISU Petasys.

NVIDIA’s Vera CPU volume is increasing threefold, which will boost demand for AI substrate stocks such as Simtek and TLB.

Nvidia's Vera and Grace GPU architectures require significantly more CPU substrates, with volume expected to triple. This directly benefits substrate and PCB companies such as Simtech, TLB, and Korea Circuit, whose products are in short supply. These stocks should see sustained demand growth from the AI infrastructure buildout.