Raymond James initiates QXO stock with Outperform rating on acquisition strategy
Investing.com - JPMorgan has upgraded LS Electric Co Ltd (KRX:010120) from Neutral to Overweight and raised its price target to KRW325,000 from KRW255,000.
The upgrade reflects JPMorgan’s expectation of three key earnings drivers, including strong AI capital expenditure growth that could exceed 20% in 2026, potentially boosting power equipment demand and new order wins from hyperscalers.
LS Electric is also positioned to benefit from increased domestic grid capital expenditure under the new administration’s support for renewables and data centers, with the company deriving over 40% of its revenue domestically compared to less than 30% for peers in 2025 estimates.
JPMorgan notes that LS Electric maintains a dominant 60-70% market share in the low-voltage equipment market and has potential revenue upside from high-voltage direct current (HVDC) proliferation through its collaboration with GE Vernova.
The stock has underperformed peers by approximately 40% since March, with LS Electric gaining 14% compared to 50-180% for competitors and 25% for the broader KOSPI index.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.