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LS Electric Cheongju Smart Factory View. (Photo=LS Electric) |
[Alpha Biz= Reporter Paul Lee] NH Investment & Securities raised its target price to 210,000 won from 130,000 won on the 30th, saying, "Direct U.S. sales have expanded in earnest."
LS Electric, a power and automation equipment company, posted operating profit of 93.7 billion won in the first quarter of this year announced on the 29th, far exceeding market expectations.
NH Investment & Securities explained that direct sales to the U.S., which were insufficient compared to its rival HD Hyundai Electric, began in earnest, and that the volume of products increased due to increased investment in data centers.
"As renewable energy expands, various voltages are required not only ultra high pressure but also medium to low pressure in terms of power devices, and the transition to not only AC (AC) but also DC (direct current) will be carried out," said NH Investment & Securities. "Companies such as LS Electric with various portfolios (products), customer companies, and performance will be advantageous."
NH Investment & Securities said that the operating profit (EBITDA) before amortization was raised by 21% due to the change in the base year (2025), and the corporate value (EV) compared to EBITDA was raised from 14 times to 15 times when raising the target price.
Alphabiz Reporter Kim SangJin(hoondork1977@alphabiz.co.kr)
