Stock market “NHN, AIDC business expected to grow”… The goal continues to rise

On the 11th, Korea Investment & Securities maintained its investment strategy at 'buy' for NHN [181710], saying that it reflects the increase in the value of the cloud division and raised its target stock price from 80,000 won to 100,000 won.

NHN's closing price the previous day was 77,400 won.

In the report, researchers Ho-yoon Jeong and In-jun Hwang positively evaluated NHN's announcement of its AIDC expansion plan, saying that the domestic artificial intelligence data center (AIDC) business is now in the blooming stage and there is high visibility of long-term performance growth based on this.

These researchers said, "An additional AIDC of 62 megawatts (MW) is scheduled to be operated by the end of 2027, and further expansion is likely to continue after 2028," and added, "The investment point is that continuous growth can be continued in the long term."

NHN announced plans to further expand its AI data center by announcing its earnings the previous day, saying that its sales and operating profit in the third quarter were KRW 758.3 billion and KRW 58.8 billion, respectively, up 10.7% and 112.7% from the same period last year.

In relation to this, LS Securities also raised its target stock price for the company from 74,000 won to 97,000 won, saying that shareholder value will increase due to the growth of NHN's cloud business. Kyobo Securities (64,000 won → 92,000 won) also raised its target stock price.