Spotlight Stock: Nanya Rebounds Despite Downtrend, Foreign Investors Buy for 4th Consecutive Day, Hits Daily Limit Up During Trading

Petrochemical stock Nanya (1303-TW) saw its share price rebound today (30) alongside a market recovery. After five consecutive days of declines, foreign investors have bought nearly 40,000 shares for four consecutive days, positioning themselves early. The stock opened lower but rose intraday on large institutional buying, briefly hitting the daily limit-up price of NT$155.5, with trading volume increasing to nearly 130,000 shares.

Nanya has successfully transitioned its product portfolio in recent years. In 2026, it is benefiting from strong demand for AI-related materials, with initial transformation results evident in the first half. Electronic materials now account for over half of total shipments. With widening supply-demand gaps in products such as ABF substrates, copper-clad laminates (CCL), and glass fiber cloth, the company expects modest revenue growth in July and the third quarter, driven by electronic materials and polyester film sales.

Analysts note that from the second half onward, Nanya’s electronic materials business remains largely unaffected by geopolitical disruptions. Capacity utilization rates for IC substrates, CCL, and glass fiber yarn have significantly increased year-on-year. Strong demand for mid-to-high-end substrates is driving upstream material revenue growth. Additionally, with the advancement of edge computing, specifications for end-user consumer electronics are gradually upgrading. This dual push of tight supply and rising demand is favorable for sustained market momentum.

Moreover, Nanya benefits from earnings contributions from its investee subsidiaries, Nanya Technology and Nan Ya PCB. The company plans to divest its stakes in Nanya Technology (2408-TW) and Nan Ya PCB (8046-TW) by the end of this year. Upon completion, this is expected to bolster the company’s financial resources.

According to analyst reports, Nanya’s Q2 EPS reached NT$3.37, far exceeding the initial forecast of NT$2.31, achieving 146% of expectations and setting a new record high for a single quarter. Given the strong demand for AI electronic materials, analysts maintain a “Buy” rating and have raised the target price from NT$200 to NT$300—a 50% increase. Based on current price levels, the P/E ratio remains relatively low, suggesting opportunities for investors to accumulate shares on performance dips.