[Click eStock] "Hyundai Motor Target Price Raised to 330,000 Won"

Daishin Securities raised the target price of Hyundai Motor Company to 330,000 KRW on the 26th.

The target price was based on Hyundai Motor's 2024 EPS (Earnings Per Share) of 47,851 KRW and a target PER (Price-to-Earnings Ratio) of 7 times. Despite strong earnings and an expanded shareholder return policy, the implied 2024 PER remains undervalued at 4.8 times compared to the global peer group average of 5.9 times.

Researcher Kim Gui-yeon stated, "The visibility of strong 2024 performance due to exchange rate and mix effects is very high," adding, "With a 2024 DPS (Dividend Per Share) of 13,000 KRW, a dividend yield of 5% has been secured compared to the closing price on May 25. Expectations for additional shareholder return policy announcements remain valid," recommending a buy strategy.

Despite limited volume due to domestic factory line adjustments and shutdowns in the first quarter, operating profit margin reached 8.7% thanks to exchange rate and advanced market mix effects. Automobile sales recorded 32 trillion KRW, operating profit 2.9 trillion KRW, and an operating profit margin of 9.1%. The financial sector posted sales of 6.7 trillion KRW and operating profit of 425 billion KRW.

Daishin Securities forecasts Hyundai Motor's automobile sales in 2024 to reach 134 trillion KRW, operating profit 13 trillion KRW, and an operating profit margin of 9.5%. This is an upward revision of 1.2 trillion KRW compared to the previous operating profit estimate of 11 trillion KRW.

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