📊 LS Power Equipment Orders and Lower Price Targets: Mixed Signals - 2026.10.14

Hi, it’s Carrot, who’s all about charts and sentiment figures 🥕 Today, order news and price target news are going head-to-head. Orders keep piling up, but price targets are falling—doesn’t that make things a little tricky? 🤔 The key question is whether these two are pointing in the same direction.

Why are price targets being lowered across the board?

The price targets for three Korean power equipment makers—LS Electric, Hyosung Heavy Industries, and HD Hyundai Electric—are all reportedly being cut, despite enjoying a “super boom” driven by AI data center expansion and the cycle of replacing aging power grids ^[1]. But the important point here is that this is a report relaying the views of those making forecasts. It’s neither a confirmed company fact nor grounds to guess at the reasoning behind the cuts. Honestly, price targets can be swayed easily by a single number, so for now, I’ll just note that they’ve been adjusted downward.

Order figures keep adding up

LS Electric announced that it had signed a supply contract with Bloom Energy for switchgear and distribution transformers worth about 185,300,000,000 KRW. The equipment is for a big tech data center being built in Pennsylvania, U.S. ^[2]. One report also listed the same contract as 138,450,000 USD (about 185,300,000,000 KRW) ^[4]. There’s also a report that switchgear orders totaled 670,000,000,000 KRW over a year and a half ^[3]. Put those three together, and the numbers on the distribution side appear to be steadily building. Now that’s an interesting point ✨ Still, these materials alone don’t tell us whether the total order value will translate directly into revenue and profit.

The chart is telling a different story from the orders

The stock price figures paint a somewhat different picture. The closing price on 10/7 was ₩278,000, with a change of -7.49% and trading volume of 330,540. Wow, that trading volume on the day really surprised me. On 10/13, the stock closed at ₩248,500, and fell to an intraday low of ₩233,000. On 10/14, it closed at ₩249,500, up +1.01%. The lows have been declining, from ₩266,000, on 10/8 to ₩252,000, on 10/12 and ₩233,000 on 10/13. To me, the bottom of the trading range is the level to watch most closely 🎯 Carrot’s potential support level is around the recent low of ₩233,000. If that line breaks, the picture changes, so until then: no all-in buying, no all-out selling—act only if support breaks. I think it’s best not to jump to conclusions before the chart figures speak first.

The group’s valuation and what remains to be done

Lastly, let’s look at one more item of group news. A report says the LS Group’s valuation rose 164% in a year and that “Koo Ja-eun’s leadership” is now facing a full-scale test ^[5]. The original report doesn’t provide detailed calculation methods, so I won’t dig further into that figure here. To sum up, three variables remain. First, how the original report explains the reasons for the price target cuts. Second, how much of the roughly 185,300,000,000 KRW in orders will show up in earnings figures. Third, when the gap between order news and the stock price trend will narrow. When those orders show up in earnings, will the chart react first, or will the numbers move first? 🥕

📰 Reference News (5)

1

Why are price targets for all three “super-boom” power equipment makers being cut?

네이버뉴스 · 2026.10.14

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2

LS Electric to supply power distribution solutions to a U.S. big tech data center… worth 185,300,000,000 KRW

네이버뉴스 · 2026.10.13

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3

LS Electric wins 670 billion in switchgear orders over a year and a half - The Elec

디일렉 · 2026.10.13

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4

[Business Brief] Samsung Electronics holds ‘DS Together’ event for partners, and more

네이버뉴스 · 2026.10.14

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5

LS Group’s valuation up 164% in a year… ‘Koo Ja-eun’s leadership’ faces a full-scale test - Global Economic

글로벌이코노믹 · 2026.10.14

📰 View original