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DEEP RESEARCH · KNJ

Adding an Investment in a Down Market: KNJ

An investment memo based on semiconductor exposure expansion and rising CVD-SiC ring demand

Written: 2024-12-27 · Semiconductor components and portfolio perspective · Naver Blog

Investment decisions are your own responsibility. This material is research and is not a buy or sell recommendation.

0. Bottom line first

First, this is not a buy or sell recommendation. I wanted to increase my semiconductor exposure, and today, in a falling market, I added a company that I believe has future growth potential. Semiconductor exposure now seems to be around 15%, and I think all that remains is to wait.

Investment-addition logicStructured only from the original memo
Down marketViewed as an add-on opportunity
Semiconductor weightAbout 15% of the portfolio
Facility investmentResponding to CVD-SiC ring demand
WaitingWatch whether sales increase
Observe whether production expansion using equity capital leads to higher revenue

1. Reason for the Addition

Basically, a facility-investment disclosure came out, and I think rising demand for SiC rings means the company is using its own capital in a way that can increase revenue.

Interpretation: The core basis in this memo is “facility-investment disclosure plus rising SiC ring demand.” The original post does not provide a disclosure amount or numerical revenue forecast, so none is added here.

2. Checking the Business

The business details were connected through a separate post. The original link is preserved below.

[KNJ] Reviewing the business details

Link image for the KNJ business overview post

3. Previously Added Stock

The original post also linked to an HPSP post as a previously added semiconductor-related stock. This shows the broader context of increasing semiconductor exposure during the down market.

[HPSP] Adding a stock during this down market

Link image for the HPSP add-on investment post

4. Checkpoints

  • Check whether KNJ’s facility investment leads to actual production-capacity expansion.
  • Watch whether rising CVD-SiC ring demand connects to sales growth.
  • Since semiconductor exposure has risen to about 15%, review portfolio concentration.
  • Confirm the possible China-bound demand together with the separate business overview post.

Sources

Naver original