Hanwha Investment Securities raised its target price for Hyundai Mobis (KOSPI: 012330) by 37.3% on 24th June, lifting it from 590,000 won to 810,000 won, while reaffirming a "buy" recommendation. Based on the closing price of 510,000 won on 23rd June, the implied upside stands at 58.8%.
The principal driver of the upgrade is Hyundai Mobis's emerging role as the robotics manufacturing arm of the Hyundai Motor Group. The company is advancing plans to commercialise robots developed by Boston Dynamics, the American robotics firm owned by the group, with a target of deploying them in the field by 2028. Hyundai Mobis has already begun optimising actuator designs and preparing dedicated mass-production facilities; in May it announced plans to build a production line in the United States capable of assembling 350,000 actuators annually.
Hanwha forecasts that Hyundai Mobis will generate cumulative robotics revenue of 3.8 trillion won over the five years from 2028 to 2032, equivalent to an annual average of 756 billion won. Actuator sales alone are estimated to account for more than 2.7 trillion won of that total, with the remainder coming from hand-unit components, other parts, and after-sales services.
To value the robotics business, the brokerage applied a price-to-sales ratio of 16.0 times — the average multiple for leading global robotics-component suppliers — arriving at a robotics-segment valuation of 12.1 trillion won. For the core automotive-parts business, it retained its existing earnings multiple but layered in a 30% premium to reflect KOSPI valuation trends this year, adjusted by a beta of 0.93 relative to finished-vehicle manufacturers.
The underlying automotive business remains solid. Hanwha projects full-year 2026 revenue of 66.078 trillion won, up 8.1% year on year, and operating profit of 3.718 trillion won, a 10.7% increase. The after-sales parts division is expected to sustain operating margins above 25%, supported by easing tariffs and favourable currency moves.
For the second quarter, Hanwha estimates operating profit of 870 billion won. Headwinds include a roughly 18 billion won reduction in American EV tax credits (known locally as AMPC subsidies) owing to softer North American electric-vehicle demand, as well as higher raw-material costs. However, the brokerage expects profitability to improve in the second half as new captive-brand vehicle launches lift component volumes.