[Edaily Reporter PARK MIN ] On the 13th, HANWHA INVESTMENT & SECURITIES slightly lowered its target price for HyundaiMobis(012330)from 810,000 won to 800,000 won, stating, “Both third-quarter revenue and operating profit are expected to fall short of market expectations.” However, the firm maintained its “Buy” investment rating, noting that the trend of structural profitability improvement—driven primarily by the automotive electronics sector—continues despite an unfavorable macroeconomic environment characterized by exchange rate fluctuations and cost pressures.

Kim Seong-rae, an analyst at HANWHA INVESTMENT & SECURITIES, said in a report published today, “Third-quarter revenue and operating profit are projected to fall short of market expectations at 15.754 trillion won and 920.6 billion won, respectively.” He added, “A negative macroeconomic environment persists, including a decline in finished vehicle production, rising costs for semiconductors and printed circuit boards (PCBs), and the appreciation of the Korean won.”

However, he noted, “It is important to pay attention to the trend of structural profitability improvement in core components,” adding, “The integration of control units on the Pleos Connect platform will serve as an opportunity to expand the adoption of high-value-added automotive electronics components, which will largely offset the negative macroeconomic factors.”

The Modules and Core Components division was analyzed to have returned to profitability with an operating profit of 31.5 billion won, driven by an improved high-value-added product mix, despite persistent challenges such as production disruptions caused by automaker strikes, increased logistics costs due to a fire at a plant in India, and the burden of rising raw material prices, including memory chips.

The After-Sales (AS) division is expected to achieve a robust operating profit of 889.1 billion won and a high operating margin of 25.8%, despite the impact of the won’s appreciation, thanks to stable demand and the continued reimbursement of reciprocal tariffs.

The restructuring of the business toward becoming a future mobility company was also viewed positively. The company approved the spin-off of its lamp business division at a board meeting on the 30th of last month and is currently pushing forward with a portfolio shift focused on robots and future mobility.

If the sale to France’s OPmobility (valued at approximately 600 billion won) is finally approved following an extraordinary shareholders’ meeting on November 24, the proceeds are expected to be used to fund research and development for robots and future core components.

HANWHA INVESTMENT & SECURITIES projected HyundaiMobis’ 2026 annual revenue at 64.344 trillion won and operating profit at 3.693 trillion won. It forecast that the company will continue its growth trend in 2027, recording revenue of 71.255 trillion won and operating profit of 3.948 trillion won.

Analyst Kim Seong-rae stated, “We have lowered the target price to 800,000 won after adjusting our profit estimates through 2027 to reflect exchange rate fluctuations and rising costs,” adding, “The trend of stronger performance in the second half of the year remains valid, as the electrification segment is offsetting the slowdown in the North American EV market with the expansion of new economy-class vehicles in Europe.”