[Special Stock] DL E&C Rises on Profitability Expectations

[Asia Economy Reporter Lee Seon-ae] DL E&C's stock price is showing strength.

As of 9:15 AM on the 29th, DL E&C's stock price is trading at 138,500 KRW, up 4.53% compared to the previous trading day. It rose to 140,000 KRW in early trading. This is interpreted as due to expectations of profitability.

On the same day, Korea Investment & Securities issued a new report with a "Buy" investment rating, stating "Profitability has been proven, only external growth recovery remains," and set a target price of 210,000 KRW. Based on the previous closing price, it can be interpreted that this stock has an additional upside potential of 58.5% compared to the target price.

Korea Investment & Securities stated, "The key point to watch in Q4 is the scale of new large orders in the plant and civil engineering sectors," adding, "Depending on the new order performance, it will be possible to gauge whether external growth will recover in 2022." They forecast Q4 housing sales to exceed 1 trillion KRW. They believe that the increase in housing external growth will continue for the time being due to the progress rate increase at ongoing construction sites.