Hyundai Engineering & Construction shares were strong early on the 7th. Analysts in the securities industry said buying gathered on expectations that share price momentum would grow as the Fermi nuclear power plant project in the United States moves forward.
As of 10:04 a.m., Hyundai Engineering & Construction was trading at 159,700 won on the Korea Exchange, up 7,800 won (5.13%) from the previous session.
The previous day, analysts in the securities industry said Hyundai Engineering & Construction would benefit from a large nuclear power plant construction project being promoted by Fermi America in Texas.
Lee Sang-ho, a Kyobo Securities researcher, said, "Hyundai Engineering & Construction, as the lead arranger for the Fermi U.S. nuclear project, is expected to receive the greatest benefit," adding, "Hyundai Engineering & Construction is proceeding with a 45% equity stake in the large nuclear portion of the overall project."
The researcher said that as the project proceeds, expectations for Hyundai Engineering & Construction's share price momentum would also grow.
Lee said, "Hyundai Engineering & Construction signed an FEED order contract with the client Fermi America in the third quarter of last year and plans to complete the basic design (FEED) contract in June this year," adding, "Depending on the pace of the project, the engineering, procurement and construction (EPC) contract is also expected to proceed in 2027–2028."
Additional growth drivers remain. The researcher said, "Not only Fermi, but the pipeline for Small Modular Reactor (SMR) projects in the United States and large nuclear plants in other countries is also abundant," and judged, "The fact that the company can handle overall operations as well as construction of large nuclear plants will be a highly meaningful portfolio, allowing for expectations of nuclear momentum."