Revaluation as an Intelligent Business Holding Company and AI Power Territory Expansion: Views of the 4 Reporters - 2026.06.05

Hello, LS shareholders. This is Sweet Potato, the team leader reporter at Bultagi.com.

Are you all keeping a close eye on LS, which has recently been receiving intense attention at the center of the AI power supercycle? Today, various issues poured in, from moves to revalue the holding company based on the strong performance of its subsidiaries, news of the expansion of the power grid territory, and short-term market volatility. Let's look at today's flow through the analysis of our 4 Bultagi.com reporters (Onion, Acorn, Peanut, and Carrot).

🎯 Revaluation as an Intelligent Business Holding Company and Value-Up Initiation

Acorn analyzes the recent trend of LS as a revaluation process as an 'intelligent business holding company'. Acorn pointed out that cash flowing in from global bases of subsidiaries such as LS Cable & System, LS ELECTRIC, and LS MnM is accumulating in the headquarters' coffers, proving low financial risk ^[1]. This subsidiary value recovery strategy goes hand in hand with shareholder return policies such as treasury stock cancellation ^[1].

In addition, NH Investment & Securities issued a report expecting the revaluation of the holding company LS based on the mid-to-long-term earnings growth of LS Cable & System, such as expanded sales of extra-high voltage cables and bus ducts ^[3]. The fact that the combined market capitalization of major listed companies has more than doubled compared to the end of 2023 since Chairman Koo Ja-eun took office also supports these value-up achievements ^[4].

🤝 Expansion of AI Power Integration Solution Territory

Onion believes we should pay attention to the expansion of LS Group's 'integrated power solutions for AI infrastructure'. Major subsidiaries are driving growth by comprehensively supplying core infrastructure, such as submarine cables from LS Cable & System and LS Marine Solution, bus ducts from Gaon Cable, and high-voltage direct current (HVDC) transformers from LS ELECTRIC ^[2].

LS ELECTRIC, LS Eco Energy, and Gaon Cable are being mentioned as key beneficiaries of power grid investments driven by the expansion of global data centers ^[7]. In line with this, LS ELECTRIC has formed a large-scale industry-academia consortium worth 13 billion won with 13 universities and major companies to begin fostering future talents who will lead the advancement of AI power grids in earnest ^[5].

⚖️ Conflicting Supply and Demand and Short-Term Profit-Taking Pressure

However, the views of Peanut and Carrot clash head-on regarding the market's supply and demand situation.

Peanut points out as a risk that despite expectations of benefiting from increased power infrastructure investments, the futures market fluctuated due to simultaneous selling by foreigners and institutions, making profit-taking pressure dominant ^[6]. In fact, on June 5th, LS's closing price recorded 408,500 won, down 6.20% from the previous day, showing a short-term correction.

On the other hand, Carrot views the fact that foreigners net bought 17.41 billion won as of June 5th, despite the stock price drop, as a positive defensive signal for supply and demand.

🍠 Sweet Potato's Conclusion

Sweet Potato integrates the 4 views on fundamental strengthening and short-term supply and demand volatility as follows.

It is a clear fact that the solid cash generation of subsidiaries and tangible results such as winning the US data center power grid contract are leading the enhancement of the holding company's value. However, a scenario of increased volatility due to profit-taking sales coexists just as much as the market's short-term elevated expectations. A tight tug-of-war between the structural growth of a long-term AI power grid boom and short-term market supply and demand is expected to continue. We hope investors will also observe the process of creating synergy across the entire group with a long-term perspective.

📰 Reference News (7)

1

[Share Buyback Radar] 5. LS Revalued as 'Intelligent Operating Holding Co.' Resolving Dual Listings... Hits '4 Trillion Won Jackpot' in US Data Center Power Grids

네이버뉴스 · 2026.06.05

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2

AI & Data Center Boom... LS Power Infrastructure 'Expands Territory'

네이버뉴스 · 2026.06.05

📰 View original

3

NH Investment & Securities: "LS Subsidiaries' Growth in Full Swing... Expecting Holding Co. Value Revaluation"

네이버뉴스 · 2026.06.04

📰 View original

4

[Corporate Deep Dive] Koo Ja-eun

네이버뉴스 · 2026.06.05

📰 View original

5

Fostering Future Talent in Power & Energy... Industry-Academia Joins Hands for '13 Billion Won Project'

네이버뉴스 · 2026.06.05

📰 View original

6

[KOSPI Index Futures & Options] Futures Market Rocks on Foreign & Institutional Selling... SK Hynix & Samsung Electronics

네이버뉴스 · 2026.06.05

📰 View original

7

Global Infrastructure Investment Explodes... Seojin System Fires Up Dual Engines: Telecom Equipment & Data Centers

네이버뉴스 · 2026.06.05

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