[Seoul=News] Taihan Electric Wire is drawing keen attention from investors as it recently underwent a significant stock price correction. The stock previously showed a strong upward trend driven by expectations for power infrastructure expansion and benefits from artificial intelligence (AI) data centers. However, selling pressure has recently increased, causing the stock price to fall by nearly 40% from its peak.

Digestion of Convertible Bond Volume is a Short-Term Variable In the securities industry, there is a consensus that if a certain scale or more of Convertible Bonds (CB) are listed, short-term supply and demand could deteriorate. Even if selling volumes do not pour out all at once, continuous supply to the market can shrink investor sentiment. Market participants are pointing to the digestion process of these CB volumes as a key variable in the short term. If the supply and demand burden eases and buying from foreigners and institutions re-enters, the possibility of a technical rebound is also being discussed.

Expectations for Power Infrastructure Benefits Following AI Expansion Meanwhile, the industrial environment surrounding Taihan Electric Wire itself is still evaluated as positive. The electric wire industry is a sector that can expect benefits from the expansion of power grid investments, the establishment of extra-high voltage transmission networks, and the increase in data center construction. In particular, as power demand surges during the expansion of the AI industry, the establishment of power infrastructure to support it is cited as an essential element. In fact, along with the expansion of global power equipment investments, interest in the overall electric wire industry continues. Taihan Electric Wire is also promoting the expansion of its extra-high voltage cable and submarine cable businesses, solidifying its mid- to long-term growth engines.

Careful Response Needed from Investors On the other hand, some opinions caution against aggressively buying solely based on the price decline. This is because recent stock markets have shown clear differentiation between stocks experiencing strong capital inflows and those left out. Experts advise that investors need to closely monitor future changes in trading volume, supply and demand trends of institutions and foreigners, and whether support holds near major moving averages.

[※ This article was written for the purpose of providing investment information, and the investment decision and responsibility lie with the investor. AI was partially utilized in the writing process of this article.]