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NH Investment Securities Raises GS E&C Price Target on Data Center Expansion
Industrial Services · Engineering & Construction · yonhap_finance · 2026-08-23
006360, 078930
NH Investment Securities has raised its target price for GS E&C to 42,000 KRW, citing the company's strategic focus on new data center projects.
What Happened
Price Target Adjustment: NH Investment Securities maintained a 'Buy' rating on GS E&C while raising its target price to 42,000 KRW. This revision reflects the anticipated earnings contribution from the upcoming Donghae data center project scheduled for groundbreaking later this year.
Data Center Development: GS E&C is participating in a government-backed project to build 2.4GW of data center capacity. The first phase, involving 1.2GW, is slated to begin construction this year with a target completion date in 2029.
Integrated Value Chain: The company has established a comprehensive value chain covering design, construction, and operation through its subsidiaries, Xi C&A and Jibesco Asset Management. Management is also considering reinvesting proceeds from the GS Inima sale into these data center initiatives.
Growth Catalysts: Analysts believe that securing future capital, signing major lease agreements, and optimizing construction labor will be the primary triggers for a re-rating of the stock. Leveraging its core construction expertise remains a central pillar of the company's long-term strategy.