📊 LS Power Infrastructure: Between Contract Wins and a Mixed Chart - 2026.10.20

Hey~ It’s Onion 🧅 More interesting news poured in from the power infrastructure sector today. So, shall we start with the contract wins?

Big Tech long-term supply contract: the stakes just got bigger

LS Electric announced that on the 19th it signed a long-term supply agreement (LTA) for North American data center power distribution solutions with a U.S. Big Tech company. The contract is worth 125,230,000 USD (about 168,900,000,000 KRW) ^[1]. There was also news that it would supply UC worth 50,000,000 USD to a U.S. hydrogen fuel cell company ^[2]. After watching the market for 30 years, I’ve learned that long-term contracts like these don’t just happen once and end there—they keep production lines busy for years. That’s exactly why the AI data center boom is tied to power equipment ^[7]. Reports that Chairman Koo Ja-eun is backing the power infrastructure business fit the same picture.

Third-quarter earnings look bright, but currency is a wild card

One article says the three power equipment companies are expected to maintain a solid trend in the third quarter, thanks to strong North American demand ^[3]. But it names exchange rates as the biggest wild card. Since the article only gives earnings figures at the headline level, what we’ll need to check when the actual numbers come out is how much the exchange rate really affected them. There’s also an analysis that K-power equipment is riding AI electricity demand and will post strong results in the third quarter ^[4]. But it’s an analysis, so let’s be sure to consider whose perspective it represents.

This year’s operating profit outlook comes from a third party

The Green Economy Newspaper reported the view that LS Electric is securing U.S. data center orders one after another and that operating profit could rise significantly this year ^[5]. Another outlet also highlighted a supply contract worth about 170,000,000,000 KRW for data centers as a key driver ^[6]. But these are only third-party forecasts. These articles don’t confirm the company’s finalized plans or intentions, or its cash flow position. So it’s best to keep the general direction in mind rather than focus on the numbers.

Why is the chart sending mixed signals? Let’s look at the macro picture

Honestly, the chart is mixed. LS’s closing price fell to ₩217,000 on October 15, then rose to ₩228,500, on the 16th and ₩235,500 on the 19th. Then on the 20th, it recorded -5.82% at ₩218,500. Yet that same day, U.S. stocks rose, with the Nasdaq up 1.11% as investors bought the dip in tech stocks, while semiconductors rebounded for the first time in 9 days ^[8]. Well now, isn’t that a sign the market is coming back to life~! Whenever macro tailwinds appear, I’m the first to perk up my ears. Still, a one-day rebound doesn’t tell us which way power equipment stocks are headed. How orders, earnings, exchange rates, and U.S. tech stocks interact is still the big question. If the assumption that North American data center demand will continue holds, I think the bullish scenario is clear. 🚀 But here’s the question: how long will it take for contract news to show up in the stock chart? 📈

📰 Reference News (8)

1

LS Electric wins 168,900,000,000 KRW U.S. data center switchboard order... to supply switchboards to AI data centers

네이버뉴스 · 2026.10.20

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4

K-power equipment gets a boost from AI electricity demand... set to shine again in the third quarter

네이버뉴스 · 2026.10.20

📰 View original

6

LS Electric racks up U.S. data center orders... aims to top 700 billion in operating profit this year

네이버뉴스 · 2026.10.19

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7

The AI data center boom is just one part of the story... power infrastructure business backed by LS Group Chairman Koo Ja-eun, orders and earnings

네이버뉴스 · 2026.10.20

📰 View original

8

[N2 Morning Economic Briefing - October 20] U.S. stocks: Nasdaq up 1.11% as investors buy the dip in tech... semiconductors rebound for the first time in 9 days

네이버뉴스 · 2026.10.20

📰 View original