[Click eStock] "LG CNS Sees Rising Demand for Cloud and AI Adoption"

On January 6, KB Securities predicted that the cloud and artificial intelligence (AI) business divisions of LG CNS would experience rapid growth. The firm maintained its "Buy" investment rating and a target price of 90,000 won.

Kim Junseop, an analyst at KB Securities, stated, "The explosive growth in demand for cloud and AI adoption among corporate clients is a key point to watch," adding, "At the end of last year, LG CNS secured a contract for NH Nonghyup Bank's next-generation system development project."

He continued, "Demand for AX from financial clients is increasing," and added, "LG CNS's track record with AX-related projects likely had a positive impact on winning the contract."

He emphasized, "LG CNS operates an exclusive partnership with Cohere, a company possessing agentic AI solutions, and is reportedly involved in AX projects for all four major financial holding companies."

Kim analyzed, "System integration (SI) providers are approaching the robot transformation (Robot Transformation, RX) of physical AI as a new growth business," and noted, "LG CNS is also emphasizing a software strategy that manages the 'intelligence' and 'control' of robots."

He further explained, "LG CNS plans to pursue a strategy of creating high added value by equipping industrial robots with AI software," and highlighted that "collaboration between LG CNS and the American robotics company Skilled AI is drawing attention."