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Wang Hsin's Q2 Growth Momentum Attracts Buying Interest, Stock Price Surge on the 25th

Wang Hsin's Q2 Growth Momentum Attracts Buying Interest, Stock Price Surge on the 25th

On the 25th, the Taiwan stock market opened high, closely linked with the US equities, with the weighted index showing strong performance and recovering the 20000-point mark within just 8 minutes after opening. The overall bullish sentiment was boosted by increases in three major stock holdings, with various sectors rising accordingly. The significant gains from Nvidia and TSMC (2330) ADRs in the US markets invigorated stocks related to Nvidia, with Hsin Hsing (3037) not only posting strong first-quarter earnings but also attracting more buying interest due to expected growth momentum in Q2, pushing the stock price to surge to 93.9 NTD, up by 7.4 NTD within five minutes after opening.

Although the price retreated slightly thereafter, it remained in the range of 5 NTD higher for the rest of the trading session, with trading volume surpassing 24,400 shares before 11 AM, making it a standout performer among this group of related stocks. The four major US indices rose for four consecutive days before the 24th, leading to a strong rebound for the Taiwan stock market at the opening on the 25th. The weighted index opened up by 382.43 points, and with the support of major stocks, broke through the 20,000-point barrier, hitting a highest point of 20012.27, although it fell back slightly afterward, generally hovering around a 400-point increase before 11 AM.

The OTC market also opened high, with trading stabilizing in a 4-point range before 11 AM. With NVIDIA and TSMC ADRs closing up 3.62% and 4.03%, respectively, all related stocks increased proportionately, with Hsin Hsing demonstrating the most prominent volume and price performance, hitting above the upper limit shortly after opening.

According to analysts, Hsin Hsing disclosed its first-quarter financial report on the 22nd, reporting revenue of 30.09 billion NTD, a year-on-year increase of 14% and quarter-on-quarter increase of 2%, with a net profit after tax of 924 million NTD, equivalent to an earnings per share of 0.6 NTD. Institutions are optimistic, citing tariff buffers and urgent orders from the US for mobile phones, computers, and laptops, as well as sustained growth in AI server shipments, which are expected to drive the shipment of Hsin Hsing's PCBs and substrates, reflecting positively on revenue month by month. It is predicted that the second-quarter financial performance will surpass that of the first quarter. As of the 23rd, domestic institutional investors had bought over a total of 425 shares for four consecutive days, while foreign investors and major market players had been net sellers, adjusting their holdings.

Analysts suggest that at the current price of 92 NTD during the session on the 25th, the stock price is stable above the 5-day, 10-day, and monthly moving averages. In conjunction with revenue news and appropriate trading volume, there is an opportunity for the price to further challenge the season line at 108.7 NTD, with short-term strategies recommending to look for proper entry points during price pullbacks.