36% increase in KRX automobile index… Hilarious about the’Apple Car’ issue
Auto stocks, led by Hyundai Motor Group stocks, are leading in the growth rate of stocks by industry in the new year.
According to the Korea Exchange on the 7th, the KRX automobile index, consisting of 10 auto stocks of KOSPI and KOSDAQ, rose 36.44% from 1,965.83 at the end of last year to 2,682.20 on the 5th.
This year, the index increase rate is the highest among KRX sector indexes.
Energy chemistry (24.33%), transportation (13.94%), media & entertainment (11.86%), and information technology (11.91%), which have risen a lot, also surpassed by a large margin.
During the same period, the KOSPI (8.60%) and KOSDAQ (-0.10%) fluctuation rates were also significantly higher.
The components of the KRX automobile index are Hyundai Motor, Kia Motors, Hyundai Mobis, Hanon Systems, Hankook Tire & Technology, Mando, Hyundai Wia, Korea & Company, Sebang Battery, SL
Daejangju Hyundai Motor and Kia Motors’ share prices rose 29.95% and 62.66%, respectively, this year.
Based on the closing price, the rate of increase from the bottom of last March reached 278.60% and 372.09%, respectively.
Shares of Hyundai Wia (84.11%), SL (75.08%), Sebang Battery (54.57%), and Hyundai Mobis (38.36%) also surged in the new year.
[표] KRX Automotive Index component stock prices (January 4-February 5)
┌───────────┬───────┬───────┬─────┐
│ Item name │Start date base price │ End date close price │Rate of change (%) │
├—————-┼———-┼——–┼——┤
│ Hyundai Motor Company │ 192,000│ 249,500│ 29.95│
├—————-┼———-┼——–┼——┤
│ Kia Motors │ 62,400│ 101,500│ 62.66│
├—————-┼———-┼——–┼——┤
│ Hyundai Mobis │ 255,500│ 352,500│ 37.96│
├—————-┼———-┼——–┼——┤
│ Hanon System │ 16,250│ 18,350│ 12.92│
├—————-┼———-┼——–┼——┤
│Hankook Tire & Technology│ 39,400│ 45,050│ 14.34│
├—————-┼———-┼——–┼——┤
│ Mando │ 58,800│ 73,500│ 25.00│
├—————-┼———-┼——–┼——┤
│ Hyundai Wia │ 53,500│ 98,300│ 83.74│
├—————-┼———-┼——–┼——┤
│ Korea & Company │ 14,650│ 21,450│ 46.42│
├—————-┼———-┼——–┼——┤
│ Sebang battery │ 68,900│ 106,500│ 54.57│
├—————-┼———-┼——–┼——┤
│ SL │ 16,250│ 28,450│ 75.08│
└───────────┴───────┴───────┴─────┘
(Source = Korea Exchange)
The material that has led the recent auto industry’s share price strength is the’Apple Car’ issue.
At the beginning of the year, it was announced that Apple had proposed cooperation with the Hyundai Motor Group for the production of self-driving electric vehicles, and related stocks began to shake off in the stock market.
The Hyundai Motor Group side is sticking to the position that there have been no confirmed details regarding the Apple car cooperation, but related reports have poured out in domestic and foreign media.
Recently, there were reports that the negotiations between Hyundai Motor Group and Apple were in the final stage, and that the first Apple car was produced based on the Hyundai Motor Group electric vehicle platform E-GMP.
However, uncertainty has also increased as reported by Bloomberg News that the discussion between Apple and Hyundai Motor Group for Apple car production has been temporarily suspended.
The good performance of Hyundai Motors and Kia Motors also raised investment sentiment.
The combined sales of the two companies in the fourth quarter of last year were 46.15 trillion won, the highest since the introduction of the new accounting standards (IFRS) in 2010.
The combined operating profit was KRW 2.92 trillion, recovering to KRW 2 trillion in 18 quarters after the second quarter of 2016.
Moon-soo Jang, a researcher at Hyundai Motor Securities, explained, “As the valuation recovered, the stock price of automobile and parts stocks rose sharply due to the improvement of fundamentals according to the above-expected performance, the increase of the demand for electric vehicles, the expectations of E-GMP, and the expectation of cooperation with global IT companies.” .
In addition, as the government is striving to revitalize the hydrogen economy, such as the’Hydrogen Economy Promotion and Hydrogen Safety Management Act’ (Hydrogen Act) is enacted, there is high expectation for the expansion of the hydrogen electric vehicle market.
Dae-hoon Han, a researcher at SK Securities, said, “As the market volatility increases, performance and policy momentum are important, so the attractiveness of the automobile industry is high.”
/yunhap news