LS Electric Model update to reflect latest order wins. Stay Neutral on rich valuation

研报英文原文证据摘录

LS Electric Model update to reflect latest order wins. Stay Neutral on rich valuation

J P M O R G A N Asia Pacific Equity Research

24 June 2026

LS Electric Neutral

010120.KS, 010120 KS

Model update to reflect latest order wins. Stay Neutral Price (24 Jun 26):W225,500

on rich valuation ▲Price Target (Jun-27):W190,000 Prior (Dec-26):W160,000

We have updated our model for LS Electric to reflect strong order wins from US

data centers and revised up our 26-28E earnings forecasts by 3-9%. Order wins Power Equipment and Utilities

during the 2Q span multiple products, including HV transformers (345kV), Stephen Tsui, CFA AC

distribution solutions (e.g. with Bloom Energy [BE.US, OW, covered by Mark (852) 2800-8592

Strouse]), switchgear, circuit breakers and other products. These showcase the stephen.tsui@jpmorgan.com

company’s breadth of product offering to AIDCs. On the back of strong demand Vento Suen

for behind-the-meter power generation and AIDC capacity growth (see latest note (852) 2800-8546

vento.suen@jpmorgan.com

on CSP capex forecast by our global team), we believe LS Electric is well-

Alan Hon

positioned to increase its market share in data centers and protect its share against

(852) 2800-8573

Chinese competitors given its track record and breadth of products. That said, alan.hon@jpmorgan.com

trading at 49x 2027E P/E (>70% premium over peers), the risk/reward trade-off J.P. Morgan Securities (Asia Pacific) Limited/ J.P.

appears fair, we hence maintain a Neutral rating on the name. Morgan Broking (Hong Kong) Limited

• Continued new order wins from US AIDC: The company has announced a

series of new order wins since April, including a 345kV ultra-high-voltage Key Changes (FYE Dec)

transformer for a central US data center (~KRW 107bn), equipment supply for Prev Cur Δ

Adj.