Hyundai Engineering has seen its stock rise by more than 8% in early trading on the 25th, buoyed by expectations of increased nuclear investment in the second half of the year.
As of 9:29 a.m. on the 25th, Hyundai Engineering's shares were trading at 114,200 won, up 8,600 won (8.14%) from the previous trading day, according to the Korea Exchange.
The surge in stock price is attributed to positive forecasts from the securities industry regarding the nuclear power sector. KB Securities maintained a 'Buy' rating on Hyundai Engineering, setting a target price of 170,000 won, indicating a potential upside of about 49% from the current stock price.
Jang Mun-jun, a researcher at KB Securities, stated, "The second half of 2026 to 2027 will be a crucial period for nuclear investment," predicting that U.S. power companies will announce new nuclear projects starting this fall.
He specifically noted that the U.S. Department of Energy's decision to provide $17.5 billion in loans for supply chain support is expected to accelerate nuclear investments. Jang also highlighted the potential for significant developments, including the IPO of Holtec, a key partner of Hyundai Engineering, the restart of the Palisades nuclear plant, and the commencement of small modular reactor (SMR) construction.
Jang added, "The outline of South Korea's investment in the U.S. nuclear industry will also become clearer in the second half of the year," reaffirming Hyundai Engineering as a top pick as it aims to become a leading global nuclear company.
* This article has been translated by AI.
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