Hanwha Ocean shares sink 23% as it loses bid to build Canada's next fleet of submarines

Hanwha Ocean shares dropped more than 20% after losing the submarine-building bidding war to ThyssenKrupp Marine Systems for Canada’s next fleet. The loss of the major defense contract is a clear near-term earnings/visibility headwind, driving a sharp negative repricing of the stock.

Analysis

Hanwha Ocean shares dropped more than 20% after losing the submarine-building bidding war to ThyssenKrupp Marine Systems for Canada’s next fleet. The loss of the major defense contract is a clear near-term earnings/visibility headwind, driving a sharp negative repricing of the stock.