SK Securities analyzed on the 10th that a dividend yield of 5.7% is expected based on the current stock price for Hyundai Motor. The target price is set at 270,000 won, maintaining an investment opinion of 'buy.'
Yoon Hyuk-jin, a researcher at SK Securities, noted, "Profit decreases are expected due to U.S. tariffs," but added, "The low valuation with a price-to-earnings ratio (PER) of 5.2 times and the market's preference for high-dividend corporations are expected to support the lower end of the stock price."
SK Securities estimates that Hyundai Motor will achieve sales of 45.9 trillion won in the second quarter of this year, a 2% increase compared to the same period last year, while operating profit is expected to decline by 15.2% to 3.6 trillion won. This is at the level of market expectations (consensus).
Researcher Yoon stated, "Of the 960,000 vehicles sold in the U.S., 370,000 are produced in the U.S., and the remaining 590,000 are exported from Korea (some from Kia's factory in Mexico)," adding, "The costs arising from the 25% tariff imposed in the U.S. are expected to reflect 2 trillion won in the operating profit for the second half of the year."