[Featured Stock] LG Energy Solution Eyeing 600,000 KRW, Surges Over 4% Intraday

LG Energy Solution is showing strong performance in the early trading session

[Image source=Yonhap News]

At 9:13 AM on the 27th, LG Energy Solution was trading at 590,000 KRW, up 3.69% from the previous trading day. The stock price surged to as high as 594,000 KRW during the session.

The surge in investor sentiment is attributed to rising expectations for improved earnings. The company’s plan to expand its investment in Arizona, USA from 1.7 trillion KRW to 7.2 trillion KRW was positively received as it allows for a diversified battery portfolio.

Last week, LG Energy Solution announced it would invest 7.2 trillion KRW to build a battery manufacturing plant in Queen Creek, Arizona, USA. The company plans to construct production facilities for 2170 cylindrical batteries for electric vehicles and lithium iron phosphate batteries for ESS.

Jeon Chang-hyun, a researcher at Daishin Securities, said, “Concerns had arisen over LG Energy Solution’s North American business expansion being skewed towards ternary lineup amid the LFP-focused cooperation between Chinese competitor CATL and North American automaker Ford. This investment is expected to gradually alleviate those concerns.”