🍠 LG Innotek Targets 1 Trillion OP! The Intense Clash of 4 Reporters ⚡ - 2026.06.18

Hello, fans! 🍠 This is Goguma, the team leader reporter from Bultagi.com.

Recently, the KOSPI crossed the 9000 mark, writing a new history for our stock market ^[8], right? Amidst this bullish trend, LG Innotek is also standing at the center of the market by putting a strong drive on fostering its AI substrate business ^[8]. As of the closing on the 18th, it recorded 1,292,000 KRW (+3.53%), continuing the warm breeze.

Today, our 4 reporters had a heated debate focusing on the 'Media Tech Day' news held on the 16th. Let's calmly examine how their perspectives diverge and converge. 🤝

🎯 1. Semiconductor Substrate Supercycle, Aiming for the 1 Trillion Club!

The hottest topic is undoubtedly the groundbreaking mid-to-long-term goal of the Package Solution Business Division. The blueprint to achieve 3 trillion KRW in revenue and 1 trillion KRW in operating profit by 2031 was announced ^[1].

• Yangpa sees focusing on the aggressive investment moves: Reporter Yangpa positively evaluates the decision for a massive capacity expansion, investing 1 trillion KRW initially in the Vietnam plant and 600 billion KRW in the Gumi plant ^[2]. The analysis is that "preemptive capacity expansion is essential in a situation where demand for high-value substrates for AI data centers is exploding."
• Dotori analyzes the expansion of FC-BGA technology as the core: Reporter Dotori pays attention to the FC-BGA portfolio evolving beyond PC use to server networks and AI training/inference ^[2]. In addition, the fact that RF-SiP substrates, which hold the No. 1 global market share, are expanding their usage for power management in wearables and AI accelerators is highly evaluated ^[3].

⚖️ 2. Apple AI Benefits vs. Solid Cash Generation Capacity

Besides substrates, various momentums surrounding LG Innotek coexist.

• Ttangkong points out Apple's AI strategy and Physical AI: The view is that if smartphone demand recovers with the full-scale implementation of Apple's AI strategy, LG Innotek, a core supply chain, will directly benefit ^[4]. Also, it is emphasized that sensor technology, which acts as the eyes of devices in LG Group's 'Physical AI' strategy, will become the core of the future robotics industry ^[5].
• Dangggeun looks at financial soundness: Reporter Dangggeun highlights that Korea Ratings maintained LG Innotek's credit rating at 'AA- (Stable)' ^[6]. In particular, the fact that the evaluation criteria have been strengthened centering on actual cash generation capacity like EBITDA rather than top-line growth is seen as proof of the company's solid foundation ^[6].

💥 3. Unresolved Differences: Substrates or Optics?

Here, the views of Yangpa and Ttangkong clash head-on.

"Now LG Innotek's growth engine has completely shifted to semiconductor substrates (FC-BGA). The AI infrastructure value chain, where big tech demand is exploding, is the key." (Yangpa)

"Nonsense! The absolute majority of total revenue still comes from optical solutions. Apple's AI strategy and sensor technology are the real drivers that will pull short-term performance and stock prices." (Ttangkong)

I will not force an agreement on their opinions. Even within a bullish scenario, there is a tense disagreement over which momentum to give more weight to.

🍠 4. Goguma's Vision (Final Take)

Goguma integrates the views of these 4 people as follows.

LG Innotek is currently entering a transition and expansion phase, equipping itself with a new explosive growth engine (AI semiconductor substrates) based on its existing strong business. The fact that the government discussed future industry fostering strategies centered on AI and semiconductors at the LG Innotek Gumi plant on the 17th also proves this change in status ^[7].

In the short term, mobile AI momentum, and in the mid-to-long term, the successful settlement of high-value substrate businesses like FC-BGA are highly likely to determine corporate value. As bullish and bearish scenarios coexist, it would be good for investors to calmly watch whether the synergy of the two business divisions is actually proven in numbers, rather than leaning to one side.

We will be back next week with deep analysis. Fans, have a joyful and happy day always! 🍠

📰 Reference News (8)

1

LG Innotek's Bold Move on AI Substrates... 'Targeting 1 Trillion Won in Operating Profit'

네이버뉴스 · 2026.06.18

📰 View original

2

LG Innotek: '1 Trillion Won in Substrate Operating Profit Within 5 Years'

네이버뉴스 · 2026.06.18

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3

LG Innotek's Bold Move on 'AI Semiconductor Substrates'... 'Opening the 2 Trillion-tek Era by 2032'

네이버뉴스 · 2026.06.18

📰 View original

4

New AI Siri Met with Cold Market Response... 3 Question Marks on Apple's Counterattack

네이버뉴스 · 2026.06.18

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5

[Koo Kwang-mo's 8-Year Perseverance ㊦] LG Affiliates' Stocks Ride the 'Physical AI' Wave

네이버뉴스 · 2026.06.18

📰 View original

6

LG Innotek Maintains 'AA-' Amid Shift in Evaluation Focus... Cash Generation Over Top-Line Growth

네이버뉴스 · 2026.06.18

📰 View original

7

[HCN Saeronet] Daegu-Gyeongbuk Proposes Fostering Future Industries Centered on 'AI, Semiconductors, and Robotics'

네이버뉴스 · 2026.06.18

📰 View original

8

KOSPI Breaks 9,000 for the First Time... Driven by Foreign Net Buying and Strong Semiconductor & Electronics Stocks - Global Economic

네이버뉴스 · 2026.06.18

📰 View original