[Edaily Reporter Kim Kyung-eun] Daishin Securities initiated coverage of #Samsung E&A on the 16th, assigning a “Buy” rating and a target price of 73,000 won. The target price represents a 40.1% premium over the previous day’s closing price. The firm’s analysis notes that the company possesses the strongest order momentum in the market, driven by Middle East reconstruction projects, renewable energy initiatives, and captive (affiliate) volume.

Lee Hye-jin, an analyst at Daishin Securities, stated in a report released that day, “Samsung E&A’s strength lies in its robust order pipeline,” adding, “Although the annual order guidance for 2026 has been set at 12 trillion won, there is potential for further upward revisions.”

She continued, “Following the war, the Middle East market offers opportunities in two areas: reconstruction demand and expanded investment in energy infrastructure.” She added, “Based on its experience in executing design, procurement, and construction (EPC) projects in the Middle East, the company has the potential to participate in reconstruction projects. It is also expected to benefit from the acceleration of plant and infrastructure investments by Gulf Cooperation Council (GCC) countries, driven by expanded fiscal capacity resulting from high oil prices.”

The analyst also noted, “As trends toward global energy transition and strengthened energy security continue, we expect order momentum to strengthen across the entire new energy value chain—including liquefied natural gas (LNG), green hydrogen, ammonia, sustainable aviation fuel (SAF), carbon capture (CCUS), and clean methanol—areas where Samsung E&A is focusing its efforts.” “The company is currently repositioning itself as a global energy EPC firm, moving beyond traditional chemical EPC.”

He further noted, “We also anticipate an expansion in capital expenditures (CAPEX) by affiliated companies driven by the semiconductor supercycle,” and projected that “orders from affiliated companies will contribute to stable top-line growth due to high order visibility and rapid revenue recognition.”

The firm estimated that consolidated revenue for 2026 would reach 10.2689 trillion won and operating profit 910 billion won, representing year-over-year increases of 13.7% and 14.9%, respectively.