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Passive Component Stocks Surge as Yageo Leads Sector-Wide Rally
Electronic Technology · Electronic Components · economic_daily · 2026-09-04
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Passive component stocks rallied on Friday, with Yageo and others hitting limit-up as the MLCC industry enters a new price-hike cycle.
What Happened
Market Performance: Passive component stocks saw a massive rally on the 4th, led by Yageo, which hit the limit-up price of NT$562 ahead of its investor conference hosted by Citi. Other major players, including Walsin Technology, Holy Stone, Da-Yi, and Kingtronics, also surged to their daily limit, reflecting strong investor sentiment.
Industry Trends: According to the latest TrendForce research, South Korean giant SEMCO has begun raising prices for OEM and ODM customers for Q4 2026, signaling that the MLCC industry has entered an upward cycle. As orders for medium-to-high capacity components spill over to Taiwanese and Chinese manufacturers, capacity utilization rates are rising.
Price Cycle: Analysts indicate that the MLCC sector is firmly in a price-hike cycle, with the market now watching to see if Japanese leaders like Murata and Taiyo Yuden will follow suit. The industry expects the supply-demand gap to widen in Q4, further supporting the upward trend in component pricing.
Analyst Outlook: Driven by the positive impact of price increases, several foreign brokerages have issued buy ratings on Yageo, with target prices as high as NT$1,450. Investors are closely monitoring the company's upcoming investor conference for further insights into operational performance and broader industry trends.