Her­mes Mi­cro­vi­sion’s shares hit new record high

The China Post - - TAIWAN BUSINESS - BY JOHN LIU

Semi­con­duc­tor so­lu­tion provider Her­mes Mi­cro­vi­sion’s (HMI,

) shares topped NT$2,000 to hit a new record on the over-the­counter (OTC) mar­ket yes­ter­day.

The news came just one day af­ter Lar­gan Pre­ci­sion Co.’s (

) shares reached NT$3,000 to hit a new record in the Tai­wan Stock Ex­change Cor­po­ra­tion (TSEC).

Both Lar­gan and Her­mes’ share prices edged up fur­ther yes­ter­day, with the lat­ter re­al­iz­ing a larger scale of in­crease.

While fel­low semi­con­duc­tor firms In­tel Corp. and Tai­wan Semi­con­duc­tor Man­u­fac­tur­ing Com­pany (TSMC, ) un­der­per­formed due to their cap­i­tal ex­pen­di­ture ad­just­ment, Her­mes re­ceived a great many or­ders from the North Amer­i­can mar­ket, based on a re­port re­leased in March.

It is in­dica­tive of a strong de­mand for semi­con­duc­tor equip­ment, which con­se­quently led to Her­mes’ record price, said an­a­lysts.

Her­mes’ share price rose NT$130 to ar­rive at NT$2,020. Its share price of NT$1,910 one day prior made a record then.

The share has shot up NT$400 so far this year, as the com­pany’s mar­ket cap ex­ceeded NT$140 bil­lion yes­ter­day.

Her­mes’ Up­ward Tra­jec­tory

Her­mes said ear­lier that its sales went to the bot­tom in the first quar­ter, but ex­pect a clear re­bound in the sec­ond. Euro­pean-based for­eign in­vestors con­curred and fore­cast an an­nual growth of be­tween 25 and 35 per­cent in sales.

For­eign in­sti­tu­tional in­vestors be­gan to ac­quire Her­mes’ shares this week, push­ing its price up­ward.

Ad­vances in man­u­fac­tur­ing tech­nolo­gies are driv­ing new de­mand for Her­mes’ E-bean in­spec­tion tools, paving the way for fur­ther growth.

Her­mes was listed in 2012 at the price of NT$208. An in­vestor who ac­quired its shares back then would re­al­ize a 10.5-fold rate of re­turn.

One day af­ter hit­ting a record, Lar­gan’s share price con­tin­ued to climb yes­ter­day. It gained NT$120 to close at NT$3,065, with the firm now val­ued at NT$411.14 bil­lion.

Lar­gan is sched­uled to hold a share­hold­ers’ con­fer­ence on June 10. In­sti­tu­tional in­vestors pre­dict it will pay a lower div­i­dend than in the past. The div­i­dend pol­icy will be an­nounced 40 days in ad­vance

of the meet­ing, the com­pany said.

An Up­beat Sen­ti­ment in Mar­ket

Driven by mar­ket bell­wether Lar­gan, and blue chips such as TSMC and Ad­vanced Semi­con­duc­tor En­gi­neer­ing Inc. (ASE, ), the weighted in­dex on the Tai­wan Stock Ex­change closed up 79.02 points, or 0.82 per­cent, at 9,613 points, on turnover of NT$102.39 bil­lion.

TSMC gained 0.7 per­cent to close at NT$143.50. ASE rose 2.33 per­cent to end at NT$43.85.

The up­beat sen­ti­ment also spread to other Ap­ple con­cept stocks, such as Catcher Tech­nol­ogy ( ) and Pe­ga­tron Corp. (

), which rose 6.76 per­cent and 1.85 per­cent, re­spec­tively.

Com­puter maker Asustek Com­puter Inc. ( ) rose 3.92 per­cent to close at NT$331.50; Com­pal Elec­tron­ics Inc. ( ) claimed 1.61 per­cent to end at NT$28.45; Quanta Com­puter Inc. ( ) dipped 0.26 per­cent to close at NT$77.00.

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