Breaking Through Crisis with Year-End Maximum Production... Hyundai Motor Stock Closes Up Over 4%
Hyundai Motor Company closed with a strong stock price after announcing its highest year-end production.
On the 18th, Hyundai Motor closed at 216,500 KRW, up 4.84% (10,000 KRW) from the previous day. This appears to have positively influenced investor sentiment, as Hyundai's plan to overcome domestic and international challenges, including the inauguration of the Trump administration's second term, is tied to its highest year-end production.
Lee Dong-seok, Hyundai Motor's Domestic Production Officer and Safety and Health Officer (SCO), stated in a special address the day before, "The global economic recession continues due to the aftermath of the war in the Middle East and Russia," adding, "Following the U.S. presidential election, protectionist policies have strengthened, and the largest sales market, the United States, faces the additional adverse factor of a possible universal tariff of 10-20% in the future."
He further emphasized, "In difficult times, we must return to basics and fulfill our promise to customers by mass-producing scheduled new models, including the LX3, with perfect quality and on time," and added, "With the recent normalization of supply chain risks from parts suppliers that had been hindering our domestic production in the second half of this year, it is now time to show Hyundai Motor's true nature by achieving the highest year-end production once again."
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In the securities industry, there is an analysis that Hyundai Motor is undervalued. This is because the stock price has fallen excessively considering its dividend appeal. Song Seon-jae, a researcher at Hana Securities, maintained a target price of 310,000 KRW for Hyundai Motor and analyzed, "Hyundai Motor's price-to-earnings ratio (PER) is only 4.2 times, and Kia's is 3.5 times. Investors expecting a dividend yield of at least 6% based on the minimum dividend per share will find it an attractive entry opportunity if the stock price falls more than 17% from the current level."
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