[Special Stock] Hyundai Motor Falls on Disappointing Earnings and Interest Rate Hike Concerns

[Asia Economy Reporter Hwang Yoon-joo] Hyundai Motor Company is on a downward trend this year due to third-quarter results falling short of expectations and securities firms lowering their target stock prices.

As of 9:15 AM on the 26th, Hyundai Motor is trading at 161,000 KRW, down 0.92% (1,500 KRW) from the previous day.

Hyundai Motor reported third-quarter sales of 37.7054 trillion KRW, a 31% increase compared to the same period last year, while operating profit decreased by 3% to 1.5518 trillion KRW. Notably, the operating profit was significantly below the consensus estimate of 2.8465 trillion KRW.

Accordingly, DB Financial Investment (220,000 KRW), Shinhan Investment Corp. (220,000 KRW), Korea Investment & Securities (260,000 KRW), and Hyundai Motor Securities (240,000 KRW) all lowered their target prices simultaneously. Researcher Jang Moon-soo of Hyundai Motor Securities pointed out that the market is concerned about the profit decline due to a steeper-than-expected interest rate hike and one-time quality cost payments.

Although Hyundai Motor's stock price fell after the earnings announcement the previous day, it closed at 162,500 KRW with a slight increase (+0.62%) in the late session. Today, the stock price is falling, giving back all the gains from the previous day.

This content was produced with the assistance of AI translation services.