Doosan Enerbility stock initiated with Buy rating at HSBC on nuclear growth

Published 09/09/2025, 10:22
Doosan Enerbility stock initiated with Buy rating at HSBC on nuclear growth

Investing.com - HSBC initiated coverage on Doosan Enerbility Co Ltd (KS:034020) with a Buy rating and a price target of KRW88,000.00 on Tuesday.

The South Korean energy equipment manufacturer has seen its share price more than triple in 2025 year-to-date, outperforming the KOSPI by approximately 209%, driven by global nuclear power expansion and high demand for gas turbines.

HSBC acknowledges the company’s current valuation metrics appear expensive at a 2025 estimated PE of 135.8x, a 2025 estimated PB of 5.1x, and a 2025 estimated EV/EBITDA of 28.0x, but emphasizes the importance of focusing on medium to long-term outlook given the nuclear power industry’s 5-10 year lead time.

The research firm highlights Doosan Enerbility’s quasi-monopoly status in nuclear steam supply systems and its strategic positioning to become a key global foundry for small modular reactors through partnerships with U.S. SMR designers for module production.

HSBC projects the company’s order backlog will triple by 2030 to KRW48.4 trillion from KRW15.9 trillion in 2024, supporting strong earnings throughout the 2030s and justifying the current valuation premium.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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