In early trading on the 27th, Hyosung Heavy Industries surged and broke through the 4 million won mark. As buying poured in, the Korea Exchange (KRX) triggered a static volatility interruption (VI), temporarily switching the transaction to single-price trading.
As of 9:11 a.m. that day, Hyosung Heavy Industries was trading at 3,821,000 won on the main board, up 269,000 won (7.57%) from the previous transaction day. In early trading, it jumped more than 12% to as high as 4,006,000 won, setting a 1-year high.
As the share price spiked in a short period, the exchange triggered a static VI at 9:00:15 a.m. and applied single-price trading for two minutes. The static VI is activated when the share price surges or plunges by a certain level (about ±10%) from the previous closing price, and is designed to curb excessive price swings.
Analysts said that with high-margin orders bound for North America continuing, the share price of Hyosung Heavy Industries could rise to 5 million won.
Son Hyun-jung, a researcher at Yuanta Securities Korea, said, "First-quarter new orders at Hyosung Heavy Industries came to 4.1745 trillion won, up 107.8% year over year to a record level," and noted, "It is positive that the company is expanding beyond existing transmission facilities into power control solutions and direct current (DC) power supply for data centers."
Accordingly, for the second quarter of this year, revenue is projected at 1.7948 trillion won and operating profit at 317.9 billion won. Those would be increases of 26.2% and 93.5%, respectively, from a year earlier.