Credit Suisse analyst Su Houhe’s latest report pointed out that TV panel prices will stop steadily rebounding in December or early 2022. Panel makers such as AUO’s fourth-quarter outlook are expected to exceed market expectations. Therefore, they have upgraded their rating to “outperform”.
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Taiwanese media “Business Times” pointed out that Su Houhe has been a panel industry indicator analyst among foreign securities firms for a long time. In May of this year, amidst a wave of price increases, the leading market accurately predicted that panel prices would weaken in the third quarter. In the panel’s downward trend, the “speaking is amazing” again, which aroused the market’s attention.
Moreover, Su Houhe pointed out in the report that from the demand side, a survey of TV OEM factories found that after panel prices have experienced a sharp drop, the world’s major top-tier TV brands have become more active in sourcing panels before the end of the year. In the first quarter, promotion activities were launched to mature and emerging markets, indicating that demand began to heat up.
On the supply side, panel manufacturers have recently intended to control output. At the same time, the upstream display driver IC and T-Con production capacity are also limited, and the logistics congestion situation is gradually improving. Based on this, Su Houhe believes that TV panel prices will stabilize as soon as December this year, and the quotations will start to rebound in the second half of next year.
