|Bid||1,445.18 x 900|
|Ask||1,445.35 x 800|
|Day's range||1,415.01 - 1,499.75|
|52-week range||211.00 - 1,794.99|
|Beta (5Y monthly)||1.30|
|PE ratio (TTM)||747.71|
|Earnings date||21 Oct 2020 - 26 Oct 2020|
|Forward dividend & yield||N/A (N/A)|
|1y target est||1,244.46|
(Bloomberg) -- While the Covid-19 pandemic has dented demand for electric vehicles this year, a South Korean supplier expects its battery sales to reach a new high thanks to strength in Europe and a contract with Tesla Inc.’s factory in China.Revenue at LG Chem Ltd.’s battery business will reach a record of about 13 trillion won ($11 billion) this year, before hitting 30 trillion won in 2025, Chief Executive Officer Hak Cheol Shin said in an interview at his office in Seoul.“We have no problem in our supply chain and can deliver all of the orders from customers this year despite the coronavirus,” Shin said.Even with demand for rechargeable batteries seen slumping for the first time ever in 2020, South Korean makers posted sales gains in the first half. The Asian nation’s suppliers particularly benefited from European governments using virus recovery funds to help boost EV sales as well as new models from automakers including Volkswagen AG, according to SNE Research.Sales at LG Chem jumped 83% to 10.5 gigawatt hours, lifted by rising demand for Tesla’s Model 3 sedans in China as well as for Renault SA’s Zoe cars, SNE Research said. That helped LG Chem, whose stock has more than doubled this year to a record high market value of about $44 billion, take the market lead over China’s Contemporary Amperex Technology Co. Ltd. The Korean company’s shares rose as much as 11.5% Friday morning after Bloomberg published the first version of this story. CATL fell as much as 4.4% amid general weakness in Chinese stocks.“The point is how much LG will be able to get orders from Tesla, because everyone agrees Tesla will lead the electric-car market,” said Hwang Kyu-Won, an analyst at Yuanta Securities Korea Co. “However, if other automakers catch up with Tesla, that might be good news for LG Chem too, because of its diversified customers.”Tesla has also been using lithium-ion batteries made by No. 3 maker Panasonic Corp. at the Shanghai plant, which began production late last year. CATL recently struck a deal to supply the same factory, wooing Elon Musk with packs that BloombergNEF says cost about 20% less than rival products.Read more: The Battery Billionaire Who’s Key to Tesla’s Future in ChinaLG’s products use lithium nickel manganese cobalt (NMC) oxides, offering high energy density, which makes them more expensive but longer lasting. CATL uses lithium iron phosphate (LFP), which is cheaper and provide lower density.While LFP batteries may be “good enough” for a driving range below 300 kilometers (186 miles), NMC is likely to win out longer term as it should be able to lower costs while increasing density at a faster rate, according to Mark Newman, a senior analyst at Sanford C. Bernstein H.K. Ltd.Regardless of which technology is better, lower prices are seen as key to getting more consumers to shift from autos with combustion engines to EVs. Batteries account for 25% to 40% of total manufacturing costs for mass-manufactured battery electric vehicles, according to BloombergNEF. That is set to drop to 20% or less in the next few years amid pressure to reduce costs.Price fluctuations for cobalt and nickel won’t hurt LG’s battery margins, as contract prices with automakers are now designed to pass through raw material costs, according to Horace Chan, an analyst with Bloomberg Intelligence.LG Chem has moved to reduce overhead by working with automaker partners including General Motors Co. and Geely Automobile Holdings Ltd. on building EV battery plants, which can cost more than $2 billion. Such ties put the company in a strong position to benefit from an eventual rebound in auto demand and growing adoption of EVs.“The global electric vehicle industry itself is growing fast, but the penetration rate is about 3% now,” LG Chem’s Shin said. “The rate will be about 10% in 2025.”(Updates with latest share moves)For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.
(Bloomberg) -- A bail hearing by Zoom for the 17-year-old accused of hacking some of the world’s highest-profile Twitter accounts last month offered some surprises when a lawyer revealed that the teenager was already under investigation last year -- and then the session was interrupted by participants showing porn.Graham Ivan Clark’s lawyers were in the middle of asking a Florida judge to lower their client’s bail -- saying the $725,000 he’s required to post to get out of jail is disproportionate to the $117,000 he’s alleged to have reaped from the hack -- when the raunchy images were broadcast into Wednesday’s hearing, bringing it to an unceremonious end.Clark was arrested last week and charged with hacking into the accounts of notable businesspeople, celebrities and politicians, including former president Barack Obama, Amazon.com Inc. Chief Executive Officer Jeff Bezos and Tesla Inc. CEO Elon Musk, and posting messages soliciting Bitcoin donations. He has pleaded not guilty and remains in jail on the $725,000 bond.On top of arguing for lower bail, attorney David Weisbrod told Judge Christopher Nash in Tampa that his client shouldn’t have to prove the source of any funds he posts. In making that argument, he revealed that authorities had served a search warrant on Clark’s residence last August, almost a year before the massive Twitter hack, as part of a separate investigation, and froze a cryptocurrency account of his.After the raid, Clark agreed to forfeit 100 Bitcoins -- about $1.2 million based on today’s Bitcoin price of about $11,600 -- as part of an agreement under which he wasn’t prosecuted and admitted no wrongdoing, Weisbrod told the court. In an interview after the hearing, he said the 100 Bitcoins represented about 25% of the cryptocurrency in Clark’s account, which authorities unfroze after making the agreement. He declined to comment further on the previous investigation.Read More: ‘Mastermind’ Accused of Twitter Hack Just Out of High SchoolLast year’s probe was into a “SIM swap” scheme, lawyers for Clark said in court filings. In a SIM swap, hackers fool phone carriers into changing a person’s SIM card, used in authentication, to capture calls, texts and sensitive data, sometimes including bank account information. Such a ruse was at the center of a hack last year of Twitter CEO Jack Dorsey himself. The company closed the loophole by suspending the ability to tweet via text.The investigation involved the alleged theft of $1 million from California residents, Florida prosecutors said in court papers. The day his funds were unfrozen, prosecutors say, Clark allegedly transferred them to another account to begin the activity that led to the current charges.Prosecutor Darrell Dirks urged the judge not to budge on the bail, saying the loss may be greater than $117,000 and that “we are still discovering the breadth and depth of the defendant’s criminal conduct.”The judge hadn’t ruled on the bail request when he was forced to cancel the hearing because of the porn bombs. In the end, he kept the bail amount as it is but agreed to remove the condition that Clark prove the source of his funds, Weisbrod said in the interview.(Updates with further details of the previous investigation. An earlier version of this story was corrected to reflect Clark’s not-guilty plea.)For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.