Samsung Heavy Industries is set to be a key beneficiary of offshore new order recovery cycle along with the rebound in the oil price.
“Samsung’s share price has risen 17.5% in the past month mainly on market expectations over a recovery in the new order cycle along with the oil price recovery,” says Nomura shipbuilding analyst Jaehyung Choi.
“We see a rising offshore new order pipeline in 2018 with some 21 potential projects as the global oil majors’ breakeven price level for deep water projects are falling to $40 to $50.
