In the morning on the 17th, Korea Aerospace Industries' share price hit a 1-year high. Expectations grew that Korea Aerospace Industries would win the U.S. Navy's Undergraduate Jet Training System (UJTS) procurement program.
As of 9:44 a.m. on the 17th, Korea Aerospace Industries was trading at 106,800 won on the main board, up 6,600 won (6.59%) from the previous session. It rose as high as 109,500 won intraday, setting a 1-year high.
Investor buying appears to be driven by the view that the Korea Aerospace Industries–Lockheed Martin team has a strong chance of winning the U.S. Navy's UJTS program. The main competitors are the Boeing–Saab team.
Lee Ji-ho, a Meritz Securities analyst, said, "Judging solely by performance and operating experience, Korea Aerospace Industries has a high chance of being selected, but there is concern because it previously lost out to Boeing in an Air Force advanced trainer procurement." He added, "However, Boeing's T-7 program continues to face development difficulties, and a strike issue has also arisen, expanding the possibility that Korea Aerospace Industries will be chosen."