Kiwoom: LIG D&A bid ban puts 1 to 2 trillion won of new domestic orders at risk through 2028, exports unaffected

Kiwoom Securities analyst Lee Han-gyeol wrote on October 24, 2026 that the 24-month bidding restriction imposed by DAPA on LIG Defense & Aerospace will have a limited effect on short-term earnings and overseas orders, since existing contracts are expected to be maintained and the sanction does not directly restrict exports, but that about 1 to 2 trillion won in prospective new domestic orders could be affected and uncertainty over domestic bookings may persist until 2028. Participation in development and procurement programs such as the KF-21 long-range air-to-air missile is cited as the main variable, while a significant portion of contracts for key air defense network projects had already been finalized. The 9.03 percent share price drop on October 21 was described as separate from the business outlook, and the broker kept LIG D&A as its defense sector top pick.