[Special Stock] Domestic Defense Stocks Rise on 'Middle East Conflict and Overseas Orders'

As the geopolitical crisis in the Middle East intensifies and overseas order benefits become prominent, domestic defense stocks are strong on the 7th. As of 9:28 a.m. that day, LIG Nex1 was trading at 237,500 won, up 14,500 won (6.50%) from the previous trading day. At the same time, Hanwha Aerospace was up 21,500 won (6.37%) at 359,000 won, and Hanwha Systems was trading at 18,840 won, up 760 won (4.20%).

With tensions rising in the Middle East due to the recent conflict between Israel and Iran, domestic defense stocks have been actively receiving new orders starting with exports to Poland. Researcher Wi Kyung-jae of Hana Securities said, "There were two domestic defense orders disclosed in the electronic disclosure system last month, and in the case of Hanwha Aerospace, the contract is expected to be worth at least 234 billion won," adding, "As instability in the Middle East expands, the possibility of exports targeting the Middle East should also be considered."

He added, "LIG Nex1 also announced a supply contract with the Iraqi Ministry of Defense last month. It is a Cheongung II export contract, with a scale of about 3.7 trillion won," and "If Cheongung II is exported, Hanwha Aerospace and Hanwha Systems can also simultaneously benefit."