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THE INVESTOR]
Korea Aerospace Industries only logged 176.3 billion won (US$156.07 million) in new orders this year, and the delay in orders for Surion helicopters and its amphibious spin-off will affect its first half revenue in 2017, according to NH Investment and Securities on Oct. 26.
The securities firm lowered the target price to 99,000 won from 110,000 won.
The orders, however, will recover by the end of this year, said analyst Yu Jae-hoon, “as the third batch of Korean Utility Helicopters will be produced, and contracts for amphibious helicopters, parts and finished, will be signed in phases.”
When the bid for 10 trillion-won T-X project to replace US Air Force’s 350 fast-jet trainer aircrafts commences, it will provide a momentum for the stock price, the analyst added maintaining a “buy” recommendation.
By Hwang You-mee (
glamazon@heraldcorp.com)
