[Edaily Reporter Kim Kyung-eun] On the 17th, #Korea Electric Power Corporation is showing strength in early trading.
According to MP Doctor, as of 9:10 a.m. today, KEPCO is trading at 42,900 won, up 3,100 won (7.79%) from the previous trading day.
Expectations of a recovery in investment momentum following the transition toward an end to the conflict between the U.S. and Iran are driving the stock price higher. Today, LS Securities raised its target price for KEPCO by 24% from 50,000 won to 62,000 won and maintained its “Buy” investment rating.
Seong Jong-hwa, an analyst at LS Securities, stated, “With the Middle East war entering a phase of conclusion, we expect a revival of pre-war investment momentum and a sharp recovery in value.” KEPCO had been showing a positive trend with improving earnings until the outbreak of the Middle East war.
Oil prices, based on Dubai crude, had stabilized at around $60–70 per barrel; electricity rates had increased by 50% compared to 2021; and the share of nuclear power generation had expanded by more than 10 percentage points, resulting in a significantly improved power generation mix. However, following the outbreak of the war, the stock price plummeted by 40% compared to its level just before the war due to the fallout from soaring raw material prices.