DAOL Investment & Securities raised its target price for Hanwha Aerospace from 700,000 won to 780,000 won. Considering the surprise fourth-quarter earnings from last year and the order backlog, it noted that the appropriate market capitalization should exceed 35 trillion won.
Cho Kwang-sik, a researcher at DAOL Investment & Securities, said in a report on Hanwha Aerospace on the 25th, "Despite the significant rise in stock prices due to the surprise fourth-quarter earnings last year, the order pipeline remains robust," maintaining a favorable outlook.
According to researcher Cho, Hanwha Aerospace has secured an export backlog of about 22 trillion won. It also appears to have secured technology for a "multilayer air defense solution," which includes key components such as guided missiles and launchers, and multifunction radar (MFR) for the long-range surface-to-air missile system (L-SAM).
Researcher Cho said, "The company's pipeline was extensive, including Romania's infantry fighting vehicle, Poland's remaining third execution contract, as well as the Nordic K9, India's K9 second contract, and Saudi armored vehicles and Biho-2," noting concerns about maintaining the order backlog, but added that these have also been alleviated.
Hanwha Aerospace has recently continued to rise in stock price, bolstered by expectations of increased global defense spending. Particularly, with foreign investors and institutional investors gathering shares, the stock price has risen more than 100% this year, entering the top 10 by market capitalization in the securities market.