Stock Reports

"Broke into U.S. Data Center": Doosan Fuel Cell's Target Price Raised by 76%

SKSecurities Report

kyoungeun kim
2026-09-09 07:51:24
[Edaily Reporter kyoungeun kim ] SKSecurities assessed that Doosan Fuel Cell(336260)has successfully entered the artificial intelligence (AI) data center market, building on a contract to export phosphoric acid fuel cell (PAFC) systems to the U.S., and raised its target price from 42,000 won to 74,000 won. The firm maintained its “Buy” rating.
Doosan Fuel Cell’s PAFC product. (Photo courtesy of Doosan)

Na Min-sik, an analyst at SKSecurities, stated in a report on the 9th, “The suspension of construction permits for AI data centers in the U.S. is weighing on the stock price,” but added, “The headline risk surrounding permits is expected to gradually subside after the U.S. midterm elections on November 3.”
He went on to explain, “Data center regulations do not mean a ban on AI investment,” adding, “At its core, this is a political compromise over who—hyperscalers, utilities, or voters—will bear the burden of rising residential electricity rates.” In fact, New York State has issued an executive order requiring data centers to pay higher rates or secure their own power sources, while Pennsylvania has imposed local approval requirements and energy cost standards.
Researcher Na emphasized that fuel cells are “not victims of AI regulations but rather the solution,” highlighting their strengths in terms of rapid grid connection and community acceptance. He noted, “While gas turbines are the top choice for on-site power generation, their lead times have already lengthened,” adding, “Based on GE Vernova’s data, gas turbines are effectively sold out through 2030 production.” He continued, “With lead times now exceeding four years, gas turbines are no longer a viable option,” suggesting that fuel cells—which have relatively shorter lead times—could come to the fore.
On the 2nd, Doosan Fuel Cell announced the signing of a 501.4 billion won contract with its U.S. subsidiary, HyAxiom, to supply PAFC fuel cell systems. The products will be manufactured at the Iksan plant and delivered to HyAxiom, which will then supply them to AI data centers in the United States.
SKSecurities projected Doosan Fuel Cell’s revenue to reach 505 billion won in 2026, 861 billion won in 2027, and 1.029 trillion won in 2028. The firm forecasts that operating profit will shift from a deficit of 71 billion won in 2026 to a surplus of 45 billion won in 2027 and 76 billion won in 2028.
Regarding the target price calculation, SKSecurities raised the sales per share (SPS) for 2027 from the previous 8,576 won to 10,523 won and increased the target multiple from 4.9x to 7.0x.

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