🧅 LS and JCR’s 'A0' Rating Meet the AI Power Super Cycle - 2026.07.21

Whoa, the market is back! Let's break down today's story on LS step by step. 🧅

Credit Rating Gains Global Recognition

LS obtained an 'A0' credit rating from Japanese credit rating agency JCR ^[1]. This isn't just about receiving a single grade. It means LS received an evaluation one notch higher than the domestic creditworthiness (AA-) of typical domestic companies holding an A0 rating ^[2]. JCR highly evaluated the solid market competitiveness of key subsidiaries including LS Cable & System, LS Electric, and LS MnM ^[3]. In particular, they analyzed that LS has excellent defense against economic fluctuations through proactive risk management and strategic portfolio management ^[4]. Major domestic credit rating agencies also simultaneously upgraded LS's credit rating outlook, giving positive evaluations to the company's financial stability ^[1]. I told you so~ Having watched the market for 30 years doesn't happen for nothing. Isn't this what makes the market applaud? 🔥

LS Electric: Catching Two Rabbits with AI and Vietnam?

LS Electric is solidifying its position as a core player in power infrastructure in the AI era. Last May, the company signed a contract worth approximately KRW 105 billion to supply distribution equipment to a major US big tech data center, expanding its foothold in the AI data center power market ^[5]. AI investments centered on GPUs are spreading to power infrastructure supply chains, including transformers. Due to increased power demand in the AI industry, domestic companies including LS Electric are enjoying a boom by securing order backlogs of 2 to 4 years or more ^[6]. Profitability is being maximized as average selling prices continue to rise due to supply shortages.

Additionally, LS Electric concluded the 'ELEXS Vietnam 2026' event successfully, achieving consultation results valued at USD 160 million ^[7]. They announced energy transition and smart grid solutions for modernizing Vietnam's power grid, strengthening their presence in the local market ^[7]. CEO Chae Dae-seok also attended the opening ceremony of ELEXS VIETNAM 2026, which involved 137 companies from four Asian countries ^[8].

Next-Gen Technology and Security: Catching Two Rabbits?

LS Electric is providing topology and system design consulting for Crocus's project titled 'Development of AI-Based Semiconductor Transformer Systems' ^[9]. This signifies that LS Electric plays a key role in developing semiconductor transformer (SST) technology, a next-generation power conversion device intended to replace conventional transformers. Furthermore, the Institute for National Security Strategy launched the 'Power Security Forum' in preparation for the AI era, with experts from government, industry, academia, and research institutes, including those from LS Electric, participating ^[10]. This suggests that LS Electric is performing an important role in both power infrastructure and security fields.

Stock Price: Confirming Support Levels Amid Short-Term Volatility

The recent stock price has shown short-term volatility. On July 21, the closing price was KRW 275,000 with a change rate of +3.58%. Trading volume was 128,468 shares, foreign net buying was +KRW 790 million, and institutional net buying was +KRW 1.43 billion. On July 20, the closing price fell to KRW 265,500, recording a change rate of -7.81%, with trading volume of 130,399 shares, foreign net buying of +KRW 2.2 billion, and institutional net selling of -KRW 2.9 billion. On July 17 and 16, the closing price remained identical at KRW 288,000, recording a change rate of -5.57%, with trading volume of 149,766 shares, foreign net buying of +KRW 13.76 billion, and institutional net selling of -KRW 12.66 billion. On July 15, the closing price rose to KRW 305,000, recording a change rate of +4.27%, with trading volume of 145,637 shares, foreign net buying of +KRW 6.9 billion, and institutional net selling of -KRW 7.74 billion. On July 14, the closing price fell to KRW 292,500, recording a change rate of -3.62%, with trading volume of 157,275 shares, foreign net selling of -KRW 6.43 billion, and institutional net buying of +KRW 1.61 billion. On July 13, the closing price fell to KRW 303,500, recording a change rate of -7.75%, with trading volume of 144,927 shares, foreign net selling of -KRW 1.62 billion, and institutional net buying of +KRW 3.54 billion.

Onion believes that LS's credit rating upgrade and benefits from the AI power super cycle support a medium-to-long-term bullish scenario. While short-term volatility is driven by market sentiment, fundamentals remain solid. ☕

📰 Reference News (10)

1

LS Corp. Obtains 'A0' Credit Rating from Japan's JCR... Domestic Credit Rating Outlooks Also Upgraded Simultaneously - Energy Economic News

에너지경제신문 · 2026.07.21

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2

LS, Japan's Credit Rating Agency JCR

네이버뉴스 · 2026.07.21

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3

LS, From Japanese Credit Rating Agency JCR

네이버뉴스 · 2026.07.21

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4

LS Corp. Obtains 'A0' Credit Rating from Japan's JCR... Domestic Credit Rating Outlooks Also Upgraded Simultaneously

네이버뉴스 · 2026.07.21

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5

Beyond GPUs to Transformers and Cooling... Big Tech AI Investments Spread to Domestic Supply Chains - Monday Newspaper

네이버뉴스 · 2026.07.21

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6

AI Bottleneck Shifts from Chips to Power... South Korea

네이버뉴스 · 2026.07.21

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7

'ELEXS Vietnam 2026' Concludes Successfully... USD 160 Million Consultation Results

네이버뉴스 · 2026.07.21

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8

ELEXS VIETNAM 2026 'Concludes Successfully'... 137 Companies from Four Asian Countries Participate

네이버뉴스 · 2026.07.20

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9

Crocus to Lead 'Development of AI-Based Semiconductor Transformer Systems'

네이버뉴스 · 2026.07.20

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10

Institute for National Security Strategy Launches 'Power Security Forum' in Preparation for the AI Era

네이버뉴스 · 2026.07.21

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