The long-awaited era of electric vehicles… Hyundai Mobis leap signal
Announcement of securing core technology itself with electric vehicle platform E-GMP
Even if the market for internal combustion engines decreases, external growth is possible with electric vehicles
[아시아경제 이민우 기자] It is forecasted that Hyundai Mobis’ sales of the electrification division alone will exceed 6 trillion won this year. Based on Hyundai Motor’s electric vehicle platform, various competencies will be concentrated and competitive.
On the 2nd, Mirae Asset Daewoo predicted that Hyundai Mobis will generate sales of 42,708 trillion won and operating profit of 2.524 trillion won this year. This is an increase of 17.3% and 42.3%, respectively, compared to last year’s estimate. In particular, only electrification sales were projected to increase by 52.6% compared to last year’s estimate to 6.317 trillion won. This is because the sales of electric vehicles of Hyundai and Kia, the largest customers, are expected to increase by 51.% and 59%, respectively, compared to the previous year. As the trend of electric vehicle expansion continues, the proportion of electrification sales is expected to increase from 7% in 2019 to 20% this year and 35% in 2025.
The Hyundai Motor Group’s own electric vehicle platform E-GMP is also a huge boon. It is an analysis that it is possible to improve the constitution by possessing core technologies from assembly-oriented. Kim Min-kyung, a researcher at Mirae Asset Daewoo, said, “Amid the recent announcement of a joint venture (JV) between LG Electronics and Magna, the importance of electric vehicle (EV) powertrains has emerged throughout the industry. “Hyundai Otron’s takeover of the automotive semiconductor business division and investment in Boston Dynamics mean that the group’s electronic and autonomous driving-related hardware manufacturing capabilities are being concentrated.”
Last year’s fourth quarter results were expected to be similar to the previous year, with sales of 1,046 trillion won and operating profit of 6458 billion won. We estimate that module/parts sales will decline by -2.8% and -4.8%, respectively, compared to the same period last year due to the recovery of domestic and overseas utilization rates of Hyundai and Kia. The sales of electrification are expected to grow 40% year-on-year, and the exchange rate is somewhat unfavorable, but the A/S division is expected to decline only 1.3% over the same period due to the effect of increasing volume.
Against this backdrop, Mirae Asset Daewoo maintained a BUY rating on Hyundai Mobis and raised its target price by 24% to W310,000. The closing price on the previous trading day was 255,000 won. Researcher Kim explained, “Even though the internal combustion engine market is declining, the biggest investment point is that we can secure higher competitiveness in the electric vehicle industry and maintain overall top-line growth.”
Reporter Lee Min-woo [email protected]