Hansol Chemical Gets 300,000 Won Target on High-K, Peroxide

What Hansol Chemical’s 300,000 Won Price Target Signals

The case for revaluing Hansol Chemical rests not simply on higher selling prices, but on sales volume growth and new-material supply beginning to move in tandem. According to Asia Business Daily Securities on October 26, 2026, Shinhan Securities initiated coverage of Hansol Chemical with a 300,000 won price target and a “Buy” rating. What is currently visible is the basis for the earnings forecast; what remains uncertain is how quickly those volumes will translate into actual revenue and profit.

The investment case centers on three distinct product groups: hydrogen peroxide, hafnium-based high-k dielectric materials (High-K), and secondary-battery binders. Here, High-K refers to the hafnium-based high-k dielectric material cited in the article as a driver of increased supply. The key to this valuation is whether multiple supply channels open simultaneously, rather than relying on a price increase for a single product.

Q3 Outlook: Volume Matters More Than Selling Prices

Shinhan Securities forecast Hansol Chemical’s third-quarter revenue at 248.1 billion won and operating profit at 50.3 billion won. It also noted that although hydrogen peroxide selling prices rose 10%, the benefit to profitability was limited by a stronger won and high oil prices. This is why a price increase alone cannot guarantee higher profit.

Under this structure, margins will depend on how effectively sales volume offsets cost pressures. Higher hydrogen peroxide sales volume resulting from recovering customer utilization rates, along with sustained precursor demand, was cited as supporting earnings. Given the limited benefit from the selling-price increase, operating profit expectations would be the first to weaken if actual sales volume falls short of forecasts.

Three Supply Channels Shaping Next Year’s Earnings Outlook

Shinhan Securities projected Hansol Chemical’s revenue next year at 1.1463 trillion won, up +16% year over year. It forecast operating profit of 218.8 billion won, an increase of +25%. The expectation that operating profit will grow faster than revenue reflects anticipated volume expansion and improved profitability across product groups.

The first channel is hydrogen peroxide. SK hynix’s Cheongju M15X and Samsung Electronics’ P4 (Pyeongtaek Plant 4) were cited as new production facilities, and Shinhan Securities expects related demand growth to increase domestic hydrogen peroxide sales volume by more than 20%. An additional 17,000 tons of capacity intended to serve Samsung Electronics’ Y1 (Yongin Plant 1) and P5 (Pyeongtaek Plant 5) is scheduled to begin contributing in the second half.

The second channel is hafnium-based High-K. Its initial share of new supply in the second half was estimated at approximately 15–20%. The third is secondary-battery binders, supported by growing energy storage system (ESS) demand. Shinhan Securities projected revenue growth of +40% for this business and expects profitability to improve.

How the Hansol Chemical Revaluation Could Take Shape

• Hansol Chemical: Higher hydrogen peroxide sales volume represents growth in an existing product, while new High-K supply offers a route to gaining share in an additional product category. Including the expansion of secondary-battery binders supports the argument that the earnings outlook does not depend on a single source of demand.
• SK hynix: The Cheongju M15X facility was cited as a basis for higher hydrogen peroxide demand. The key link for investors to verify is whether production-facility demand translates into actual sales volume growth.
• Samsung Electronics: P4 was cited as a source of phased demand growth, while Y1 and P5 underpin the need for additional capacity. More important than the facility names themselves is whether Hansol Chemical’s added capacity comes online at the planned time and scale, enabling it to contribute to earnings.

Conditions Separating the Bull and Bear Cases

The bull case assumes continued growth in hydrogen peroxide sales volume, the contribution of 17,000 tons of additional capacity in the second half, and the conversion of High-K’s estimated initial share of approximately 15–20% into actual supply. If secondary-battery binder revenue growth also remains at +40%, the case for both revenue expansion and improved profitability would strengthen. This underpins Shinhan Securities’ valuation rationale, which highlights profitability marked by an operating margin of 20% in the materials industry sector and a diversified business portfolio.

The starting point for the bear case is equally clear. The fact that a 10% increase in hydrogen peroxide selling prices produced only limited benefits because of a stronger won and high oil prices shows that higher prices do not translate directly into higher profit. If sales volume falls short of forecasts or the capacity expansion is delayed, the assumptions behind the price target would weaken. Actual third-quarter earnings and next year’s earnings have yet to be confirmed.

What to Monitor in the Next Earnings Report

• Q3 earnings: Assess how closely Hansol Chemical’s actual revenue and operating profit match the forecasts of 248.1 billion won and 50.3 billion won.
• Hydrogen peroxide volume: Verify whether demand from new production facilities translates into the projected increase of more than 20% in domestic sales volume.
• Capacity contribution: Monitor the actual scale and timing of the 17,000 tons of additional capacity scheduled to begin contributing in the second half.
• New materials and binders: Whether High-K’s estimated initial share of approximately 15–20% and the projected +40% growth in secondary-battery binder revenue materialize as actual supply and revenue will determine the next revaluation point.

This article was automatically summarized and analyzed based on the original news report. View Original Article (Asia Business Daily Securities)