Hyundai Glovis Target Price 270,000 Won... Effect of Hyundai Motor's Export Increase
[Asia Economy Reporter Park Soyeon] DB Financial Investment maintained a target price of 270,000 KRW and a buy rating for Hyundai Glovis.
According to FN Guide on the 26th, Hyundai Glovis stated in a recent report that "an overall increase in cargo volume in the first quarter and the weak Korean won are expected to drive earnings improvement."
Kim Pyeongmo, a researcher at DB Financial Investment, mentioned, "Due to rising freight rates and an increase in finished vehicle transportation volume, the shipping sector continues to see earnings improvement following the second half of last year."
Researcher Kim Pyeongmo added, "Profitability in the CKD (Completely Knocked Down) segment is expected to improve due to a rebound in client production and the weak Korean won," and predicted, "The operating profit margin in the distribution sector will exceed 5%."
DB Financial Investment expects that this year, the increase in export volume from the Hyundai Motor Group and the recovery of operating rates at overseas factories will drive growth in Hyundai Glovis's logistics and CKD segments.
Finished vehicle maritime transportation is projected to increase by 17% year-on-year to 2.7047 trillion KRW in sales in 2022, driven by increased export volumes from Hyundai Motor and Kia Motors as well as increased volumes from non-affiliated companies.
Researcher Kim Pyeongmo stated, "Hyundai Glovis increased its car carriers from 86 vessels in 2020 to 95 vessels in 2021," and added, "With the rise in operating rates at Hyundai Motor Group's overseas factories excluding Russia, sales growth in CKD and overseas logistics is also expected to continue."
Hot Picks Today
If They Fail Next Year, Bonus Drops to 97 Million Won... A Closer Look at Samsung Electronics DS Division’s 600M vs 460M vs 160M Performance Bonuses
- Opening a Bank Account in Korea Is Too Difficult..."Over 150,000 Won in Notarization Fees Just for a Child's Account and Debit Card" [Foreigner K-Finance Status]②
- Foreign Media Take Note as Samsung Electronics Averts Strike Crisis: "Concerns Over AI Chip Supply Chain Eased"
- Room Prices Soar from 60,000 to 760,000 Won and Sudden Cancellations: "We Won't Even Buy Water in Busan" — BTS Fans Outraged
- "Who Is Visiting Japan These Days?" The Once-Crowded Tourist Spots Empty Out... What's Happening?
Researcher Kim mentioned, "Considering the volume increase, including finished vehicle transportation higher than previously expected, we are raising our 2022 sales and operating profit estimates by 9% and 10%, respectively, compared to previous forecasts."
© The Asia Business Daily(www.asiae.co.kr). All rights reserved.
!["Please Help Us": How Much Do Those Bowing 90 Degrees These Days Actually Earn? [Data Pick]](https://cwcontent.asiae.co.kr/asiaresize/307/2026052010120870131_1779239528.png)
