"Hyundai Glovis Realizes Humanoid Deployment... Revaluation Expected" [Click e-Stock]

Highlighting Hyundai Motor Group Affiliate’s Stake in Boston Dynamics

"First Practical Deployment of Humanoid Robots Within the Group Expected"

KB Securities has maintained its "Buy" rating and target price of 360,000 won for Hyundai Glovis, describing it as "the closest investment alternative to Boston Dynamics (BD), the U.S. humanoid robotics company." The brokerage anticipates that Hyundai Glovis’s importance will be highlighted both through process optimization enabled by the deployment of humanoid robots and during the upcoming group governance restructuring.

According to KB Securities on May 12, researcher Kang Sunjin stated, "Hyundai Glovis directly holds an 11.3% stake in BD, which sets it apart, as it could capitalize on the value of this stake after BD's listing." Kang added, "Within Hyundai Motor Group, Hyundai Glovis is likely to be the first to deploy humanoid robots in logistics and parts sequencing processes."

Hyundai Glovis is also expected to begin full-scale demonstrations of BD’s humanoid robot, Atlas, in the middle of this year, with plans to deploy it at automobile manufacturing sites in 2028.

This kind of robotics commercialization is expected to mark the first successful example of Hyundai Motor Group’s investments in physical AI. Kang commented, "If Atlas is successfully introduced to the factory in 2028, it will naturally lead to changes in the group's governance and a revaluation of Hyundai Glovis’s corporate value."

High capital efficiency was also cited as a key investment point. Kang highlighted, "Hyundai Glovis’s current shareholder return policy includes a minimum dividend payout ratio of 25% and an annual increase of more than 5% in dividends per share (DPS). Over the past 15 years, the average return on equity (ROE) has reached 14.9%."

Kang further explained, "If this level of ROE is maintained, even assuming a perpetual growth rate of 3.6%, the sustainable payout ratio could reach 76.1%." He added, "When governance changes accelerate following Hyundai Motor Group’s robotics commercialization achievements, Hyundai Glovis’s high capital efficiency could attract significant attention."