POSCO expands its LFP cathode business with a KRW 1.1 trillion SK On deal, targeting rising demand and broader battery material growth.
POSCO Holdings is evolving into a diversified 'triple-core' resource company, with lithium, gas, and trading arms now contributing meaningfully to profits. PKX trades at a 78.6% discount to sector median P/B, with a forward P/E of 8.99x and EV/EBITDA of 5.75x, reflecting deep undervaluation. Asset recycling funds growth in lithium and international steel, while anti-dumping tariffs and localization strategies protect and expand core earnings.
POSCO Holdings (PKX) remains a Buy, following my assessment of its latest corporate developments and 2H2026 prospects. PKX is accelerating subsidiary stake reductions, targeting ₩3.5T in total proceeds for reinvestment and shareholder returns. I project that 2H2026 operating profit will rise at least 30% YoY matching that of 2Q26, supported by steel pricing tailwinds, and improving lithium business profitability.
| Metals & Mining Industry | Materials Sector | In-Hwa Chang CEO | XFRA Exchange | 693483109 CUSIP |
| KR Country | 429 Employees | 1 May 2026 Last Dividend | - Last Split | 14 Oct 1994 IPO Date |
POSCO Holdings Inc., established in 1968, operates globally with its main operations based in South Korea. This conglomerate is involved in the manufacturing and selling of various iron and steel rolled products. It operates mainly in two segments: Steel and Others. Apart from its core operations in the steel industry, POSCO Holdings Inc. diversifies its business into e-commerce, the processing and sale of steel by-products, and the provision of a wide range of business support and consulting services. Its clientele includes industries such as automotive, construction, shipbuilding, energy, home appliances, and industrial machinery, underscoring its critical role in supporting key global industries. The company’s headquarters are located in Pohang, South Korea, reflecting its deep roots in the country's industrial landscape.