Funds entering LED companies may boost the listing of companies

Recently, a number of LED packaging companies announced first-quarter earnings, both showed a decline in net profit in the first quarter, but did not affect the enthusiasm of the fund. For example, on April 23, Ruifeng Optoelectronics released a quarterly report showing a 51% decline in net profit, but the top ten tradable shareholders were all “new”, including 6 open-end funds, 1 closed-end fund, and 1 private fund. In the first quarter, Hongli Optoelectronics' net profit fell 23%, and 8 of its top ten tradable shareholders were “new”, of which 7 new shareholders were open-end funds and 1 were private equity funds.

According to analysis by securities institutions, the LED industry has rebounded significantly since March 2012. It is expected that the middle and lower reaches of the LED industry will be better than the upstream in 2012, because the upstream overcapacity problem is still in place, and the capacity digestion will take a long time; while the downstream market demand is not bad, the LED backlight recovery is obvious, and the development of LED lighting is also very fast. The third quarter is usually the traditional peak season for the LED industry.

The industry expects that LED TV shipment growth in 2012 will be significantly better than in 2011, which will drive the LED backlight market to gradually recover. At the same time, benefiting from the increased support from China and overseas governments for LED lighting, it is estimated that the demand for outdoor street lighting and commercial lighting will increase significantly in the third quarter of 2012. At the same time, the monthly revenue of the LED industry in Taiwan has been rising for three consecutive months, and the turning point of the LED industry has been determined. The main contribution of LEDs is still LED backlight applications, of which TV backlight is the main contributor, and 2012 is the year of LED backlight TV.

In fact, the intensive listing of LED companies is still going on. In the first quarter of 2012 alone, there were 6 companies including Wanrun Technology and Changfang Lighting, and two companies are waiting to be released. The industry estimates that the 2012 LED company listing will continue to stage.

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