[Edaily Reporter kyoungeun kim ] Hyundai Motor ( HyundaiMotor(005380)) is trading down by about 3% on the 21st amid a series of target price downgrades by securities firms and concerns over weak second-quarter earnings.
According to MP Doctor, as of 9:15 a.m. today, HyundaiMotor is trading at 385,000 won, down 14,000 won (3.51%) from the previous trading day. Compared to the 52-week high of 783,000 won recorded on the 1st of last month, the stock price has effectively been cut in half.

Downward pressure on the stock price is intensifying following recent consecutive target price cuts by KB HYUNDAI MOTOR SECURITIES and MIRAE ASSET SECURITIES. KB HYUNDAI MOTOR SECURITIES lowered its target price by 300,000 won from 1.2 million won—set in June—to 900,000 won, while MIRAE ASSET SECURITIES also reduced its target by 110,000 won from 950,000 won to 840,000 won.

The primary reason for the target price cuts is the company’s weak second-quarter performance. MIRAE ASSET SECURITIES projected second-quarter revenue of 48.3 trillion won and operating profit of 2.86 trillion won for the results to be announced on the 23rd. These figures fall short of market expectations, and the firm attributed this to sluggish wholesale sales and the lack of a low-priced electric vehicle lineup. KB Securities stated, “Domestic sales were 20,000 units lower than expected due to the impact of a fire at a parts supplier in March, and European sales were 15,000 units short due to a production halt caused by construction work on the EV line at the Turkish plant,” and presented a full-year operating profit forecast of 10.6 trillion won—9.7% below the market consensus. Increased market volatility resulting from a rise in the year-end exchange rate was also cited as a concern.

However, both securities firms drew a clear line, stating that the acquisition of a 100% stake in Boston Dynamics would not erode corporate value. After Japan’s SoftBank exercised a put option on its 9.65% stake, HyundaiMotor has made Boston Dynamics a wholly-owned subsidiary. KB Securities stated, “We maintain our previous forecast that the humanoid market will exceed $5 trillion by 2050 and that HyundaiMotor Group will become the market leader, capturing 60% of the industrial humanoid market by 2035.” MIRAE ASSET SECURITIES also noted, “We should pay close attention to Boston Dynamics’ future investment rounds and its updated robotics strategy.”