At the center of the hot semiconductor craze, Foosung's rapid run and investment caution > News

Foosung's rapid rise is in line with the rapid increase in demand for special gas, an essential material in the semiconductor manufacturing process. As semiconductor miniaturization processes and 3D NAND flash production expand, the value of special gases such as C4F6 and WF6 used in etching and deposition processes is being re-evaluated. In particular, Foosung earned the trust of investors by showing a performance turnaround with sales significantly exceeding market expectations despite a significant increase in product prices. The fact that the average product price rose nearly 60% in the first quarter compared to the previous year is a key indicator that proves that the actual profit structure is improving, not simply a market theme.

The 'key matching' phenomenon across the semiconductor industry is another engine that drove Foosung's stock price rise. Front-process material, component, and equipment companies, which had received relatively little attention compared to back-end process companies, are now receiving market attention along with expectations of increased facility investment by large semiconductor companies. In addition, large domestic semiconductor stocks such as Samsung Electronics and SK Hynix rose simultaneously thanks to the semiconductor rally from New York, further accelerating the concentration of supply and demand toward Foosung, a small and medium-sized electronics company. As a result, Foosung quickly emerged as a leading stock in the KOSPI market, recording a phenomenal increase of over 60% in one week.

However, behind the spectacular upward trend, there is a market warning light that must be noted. As Foosung's stock price showed signs of overheating, surging more than 60% over the past five days, the Korea Exchange announced that it would designate the stock as an investment warning stock and designated it as an investment caution stock for one day on the 15th. This is a strong signal to investors of the risk of profit-taking selling and increased volatility due to short-term surges. If it is finally confirmed as an investment warning item, strong measures such as suspension of trading may follow, so it is time to make a cool-headed judgment on whether the current upward trend is the company's inherent value or a simple overheating of supply and demand.

Meanwhile, outside the stock market, biological terms such as ‘epigenome’ emerged as a hot topic, adding to investor confusion. Although this is a medical concept that is completely unrelated to the business of Foosung, a semiconductor materials company, this is an example of confusion in the market information system due to the similarity of the names. Investors tend to get carried away without being able to distinguish between a company's actual business model and performance data, and this information asymmetry is one of the biggest risk factors in investing in rapidly rising stocks. Therefore, a prudent investment attitude that filters out market noise and checks the company's fundamentals is more urgent than ever.