Daewoo Engineering is experiencing a surge of over 20% in early trading, buoyed by news of a ceasefire between the United States and Iran.
As of 10:01 a.m. on June 16, Daewoo Engineering shares were trading at 27,700 won, up 20.96% from the previous day. The stock opened at 23,150 won and briefly reached 28,750 won during the session.
This increase is attributed to the positive impact of the ceasefire agreement on investor sentiment. Earlier in the day, President Donald Trump, Vice President JD Vance, and Mohammad Bagher Ghalibaf, the Speaker of the Iranian Parliament, reportedly signed a memorandum of understanding (MOU) to end hostilities.
Positive assessments from the securities industry also contributed to the stock's rise. Daishin Securities issued a report stating, "The contract for the Dukovany nuclear power plant in the Czech Republic is significant as it marks the company's first overseas nuclear project," raising its target price to 28,000 won while maintaining a 'buy' recommendation.
Lee Hye-jin, a researcher at Daishin Securities, noted, "Based on our domestic nuclear project experience, we expect to demonstrate our capabilities in overseas nuclear construction and expand our role within Team Korea. Successful project execution could lead to more opportunities in the global nuclear value chain."
She also added, "We anticipate further projects, including the Temelin nuclear plant in the Czech Republic and the Ninh Thuan nuclear plant in Vietnam."
* This article has been translated by AI.
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