[Featured Stock] LS Networks Rises 18% on 'Elon Musk' Effect

LS Networks' stock is showing strong performance. The news that a group company supplies data center components to xAI, an artificial intelligence (AI) development company founded by Elon Musk, CEO of Tesla, appears to have acted as a positive catalyst.

As of 10:06 a.m. on the 20th, LS Networks' stock price rose 18.0% from the previous trading day to 4,645 won. It has been on an upward trend for consecutive days after hitting the daily limit on the 17th.

It seems to have been influenced by the news that LS Electric, an affiliate of the same LS Group, is supplying distribution board components for data centers to the U.S. company xAI. LS Electric is also reportedly in talks to supply distribution board components to major U.S. IT giants such as Microsoft.

As a result, LS Group affiliates are generally showing strong performance. LS recorded 118,400 won, up 1.28% from the previous trading day. LS Materials also rose 2.35% during the same period to 15,160 won. LS Materials had also hit the daily limit during trading on the 17th.

Electric power equipment stocks continue to benefit as AI demand increases and investment in data centers grows, making them essential goods. There are also forecasts that demand for electric power equipment will increase during the recovery process from the wildfires in Los Angeles (LA), USA.