0344 GMT - LIG Nex1's shares deserve to trade at a premium due to a potential increase in missile-defense demand from the Middle East in the wake of the ongoing Israel-Iran conflict, Nomura analyst Eon Hwang says in a note. Hwang now applies a price-to-earnings ratio of 40.2 to the South Korean guided-missile manufacturer, 30% higher than the global peer average ratio. Potential demand for multilayer antiballistic missile defense systems is likely to increase from the Middle East after Israel's five-layer defense system was penetrated by Iran's missiles, he notes. LIG Nex1's Middle East clients, Saudi Arabia and the United Arab Emirates, have a three-layer defense system, he adds. (kwanwoo.jun@wsj.com)
(END) Dow Jones Newswires
June 17, 2025 23:44 ET (03:44 GMT)
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