Translating into Русский. The English version is shown until it is ready.
NH cuts Hyundai Motor target price to 540,000 won, sees fourth-quarter rebound
Версия 2: A third outlet, Newsis, reported that Heungkuk Securities also lowered its target price on Hyundai Motor while saying the stock retains upside despite short-term earnings weakness; no details from that note were available.
Коротко
NH Investment & Securities cut its target price for Hyundai Motor to 540,000 won from 620,000 won while keeping a buy rating, saying third-quarter results will miss market expectations. It forecast third-quarter revenue of 42.2232 trillion won and operating profit of 2.4028 trillion won, both down from a year earlier, citing a union strike that disrupted about 55,000 vehicles of production. The brokerage expects a fourth-quarter rebound on normalized output and new models, and Newsis reported that Heungkuk Securities also lowered its target price while saying the stock retains upside.
Читать полностью 2 мин чтения
NH Investment & Securities said Hyundai Motor's third-quarter results are likely to fall short of market expectations and cut its target price for the automaker to 540,000 won from 620,000 won while keeping a buy rating, according to Yonhap News and Maeil Business Newspaper. Both outlets cited the previous close of 346,500 won as the basis for remaining upside; Maeil put that upside at 55.8%. [ 1 , 2 ]
NH projected third-quarter revenue of 42.2232 trillion won, down 9.6% from a year earlier, and operating profit of 2.4028 trillion won, down 5.3%, both outlets reported. Maeil said the operating profit estimate is slightly below the market consensus of 2.4840 trillion won. Yonhap quoted NH researcher Haneul as saying a union strike halted operations at some plants, disrupting about 55,000 vehicles of production, with fewer working days over the holiday and higher first-half raw material costs also weighing on margins. [ 1 , 2 ]
The researcher said a higher average exchange rate in the quarter supported export profitability and that a decline in the end-of-period rate versus the previous quarter was expected to produce a reversal of warranty provisions, limiting the fall in operating profit, Yonhap reported. Both outlets said NH expects a fourth-quarter rebound on normalized production, recovering wholesale sales and new models: the Ioniq 3 in Europe and the Grandeur hybrid, new Avante and facelifted Santa Fe in Korea. [ 1 , 2 ]
Haneul said the strength of the recovery will depend on whether output lost to the strike is sold later, and on incentives and raw material costs, according to Yonhap, which also cited initial costs from new model launches and possible changes in warranty provisions from the end-of-period exchange rate. Maeil reported that NH cut its full-year 2026 operating profit forecast by 8.5% to 10.2530 trillion won from 11.2010 trillion won, and expects 2027 operating profit of 13.047 trillion won, up 27.3%. [ 1 , 2 ]
Maeil said the target price cut reflects the revised earnings forecasts and a change of comparison companies, replacing Chinese software-defined-vehicle makers with Toyota and Honda, applying a 20% premium to their average 2027 price-to-earnings ratio for a target multiple of 12.1 times on Hyundai's 2027 earnings per share. It said Hyundai has earnings defenses through hybrid vehicle sales and long-term growth potential in new businesses such as robotics, but that those businesses contribute little to current results. [ 2 ]
Newsis published a headline saying Heungkuk Securities also lowered its target price on Hyundai Motor while stating the stock has upside despite short-term earnings weakness. The article text carried under that headline was about an unrelated police investigation and did not include the note's figures, rating or reasoning. [ 3 ]
Почему это важно
The note is a widely read sell-side view on Hyundai Motor, Korea's largest automaker, so it shapes how investors read the company's strike-hit quarter and its hybrid-led product push. It also signals that analysts see the third quarter as a bottom for the company while warning that the strength of any recovery depends on deferred sales, incentives and raw material costs.
Ключевые факты
- NH Investment & Securities cut its target price on Hyundai Motor to 540,000 won from 620,000 won and kept a buy rating. [ 1 , 2 ]
- NH projected third-quarter revenue of 42.2232 trillion won, down 9.6% year on year, and operating profit of 2.4028 trillion won, down 5.3%. [ 1 , 2 ]
- The brokerage attributed the weak quarter to a union strike that halted some plant operations and disrupted about 55,000 vehicles of production, along with fewer working days over the holiday and higher first-half raw material costs. [ 1 , 2 ]
- NH said the previous close of 346,500 won leaves upside to the new target, which Maeil Business Newspaper put at 55.8%. [ 1 , 2 ]
- NH expects a fourth-quarter rebound driven by production normalization, recovering wholesale sales and new models including the Ioniq 3 in Europe and the Grandeur hybrid, new Avante and facelifted Santa Fe in Korea. [ 1 , 2 ]
- Maeil reported NH cut its 2026 operating profit forecast 8.5% to 10.2530 trillion won and expects 2027 operating profit of 13.047 trillion won, up 27.3%. [ 2 ]
- Maeil reported the target price cut reflects revised forecasts and a switch of comparison companies from Chinese software-defined-vehicle makers to Toyota and Honda, using a target multiple of 12.1 times 2027 earnings per share. [ 2 ]
- Newsis reported that Heungkuk Securities also lowered its target price on Hyundai Motor while saying the stock has upside despite short-term earnings weakness. [ 3 ]
Подтверждено несколькими источниками
- NH Investment & Securities lowered its Hyundai Motor target price to 540,000 won from 620,000 won while maintaining a buy rating. [ 1 , 2 ]
- NH forecast third-quarter revenue of 42.2232 trillion won (down 9.6%) and operating profit of 2.4028 trillion won (down 5.3%) from a year earlier. [ 1 , 2 ]
- A union strike that stopped some plant operations caused about 55,000 vehicles of production disruption in the third quarter, according to the brokerage. [ 1 , 2 ]
- NH expects fourth-quarter results to rebound on normalized production and new model launches, including the Ioniq 3 in Europe and the Grandeur hybrid, new Avante and facelifted Santa Fe in Korea. [ 1 , 2 ]
- The stock's previous close was 346,500 won. [ 1 , 2 ]
- NH said the strength of the recovery depends on whether lost output is sold later, and on incentives and raw material costs. [ 1 , 2 ]
Пока неясно
- Hyundai Motor's own response to the forecasts and target price cuts. Neither document contains any statement from Hyundai Motor; both report only brokerage research.
- Whether the 346,500 won share price was the October 2 close or the last session before publication. Maeil Business Newspaper called it the October 2 close, while Yonhap described it as the previous session's close.
- NH's full-year 2026 and 2027 operating profit forecasts and the change of comparison companies. These figures appear only in Maeil Business Newspaper's account of the report and are not carried by Yonhap.
- The market consensus figures used for comparison. Only Maeil cites the 2.4840 trillion won consensus for third-quarter operating profit; Yonhap refers to consensus without a number.
- The exact third-quarter revenue figure. Yonhap gave 42.2232 trillion won for third-quarter revenue and Maeil gave 42.2230 trillion won, a marginal difference the documents do not explain.
- Details of Heungkuk Securities' note on Hyundai Motor, including its target price and investment opinion. Newsis carried the brokerage's view only in its headline; the article text under it was about an unrelated police investigation, so the note's details, figures and rating could not be verified.
Что пишут местные СМИ
Хронология, местное время
- Yonhap publishes its report on NH Investment & Securities' note on Hyundai Motor. [ 1 ]
- Maeil Business Newspaper publishes its account of the same report, including full-year forecasts and valuation details. [ 2 ]
- Newsis publishes a headline saying Heungkuk Securities also lowered its Hyundai Motor target price while citing upside. [ 3 ]