The auxiliary battery sector, which thrilled the stock market last year, has been on a continuous decline since the beginning of this year, leading to a decrease in market capitalization by nearly 50 trillion won.
According to the Korea Exchange, the combined market capitalization of nine companies involved in auxiliary batteries, which are among the top 50 in market capitalization on the KOSPI and KOSDAQ markets, decreased from 308.61 trillion won (230.86 billion US dollars) at the beginning of the year to 259.72 trillion won on January 26.
The combined market capitalization of LG Energy Solution, POSCO Holdings, LG Chem, Samsung SDI, EcoPro BM, POSCO Future M, EcoPro, SK Innovation, and EcoPro Materials decreased significantly by 48.89 trillion won compared to the beginning of the year.
The ranking of market capitalization for major companies in the auxiliary battery industry continues to decline.
POSCO Holdings dropped from 7th to 10th place, POSCO Future M from 14th to 17th place, SK Innovation from 23rd to 31st place, and EcoPro Materials from 24th to 34th place.
On January 24, American electric vehicle manufacturer Tesla predicted a more challenging year for its business compared to the previous year, contributing to the downward pressure on the shares of domestic battery-producing companies.
On January 26, LG Energy Solution saw an increase of over 3.5 percent, and EcoPro gained 9.3 percent, signaling the strength of most companies in the auxiliary battery industry. However, experts attribute this to a “technical rebound” rather than a reversal of the trend. Faced with unfavorable battery policies and market conditions, “transient rebounds” are observed within the overall downward trend.
FAQ:
1. How is the market capitalization of the auxiliary battery sector in Korea changing?
The market capitalization of nine companies involved in auxiliary batteries has decreased by nearly 50 trillion won since the beginning of the year.
2. Which companies are most affected by the decrease in market capitalization?
POSCO Holdings, POSCO Future M, SK Innovation, and EcoPro Materials are among the most affected companies that have dropped in market capitalization rankings.
3. What factors contributed to the decline in stocks of battery-producing companies?
The prediction of a more challenging year by Tesla, adverse battery policies, and market conditions.
4. Are there any positive signals for the auxiliary battery industry?
Although some companies experienced growth on January 26, experts attribute it to a “technical rebound” and claim it is only a temporary bounce within the downward trend.
5. Are there any related links to the main domain related to the topic?
– Korea Exchange (KRX) – the Korean stock exchange where more information about the market capitalization of companies can be found.
– Tesla – the website of the electric vehicle manufacturer Tesla, which contributed to the downward pressure on the shares of battery-producing companies.
Definitions:
– Market capitalization – the value of all listed stocks on the stock exchange multiplied by their price.
– Trillion – a numerical unit equal to thousands of billions, or 10^12.
– KOSPI – stock market index in South Korea, consisting of the top 200 companies listed on the Korea Exchange.
– KOSDAQ – stock market index in South Korea, consisting of technology sector companies listed on the Korea Exchange.
The source of the article is from the blog enp.gr