Boston Dynamics’ Atlas was on display at the 2026 Land, Infrastructure and Transport Technology Fair held at COEX in Samseong-dong, Gangnam-gu, Seoul, on the 24th of last month. Yonhap News
A brokerage has issued a report lowering its target price for Hyundai Mobis (012330.KS). The stock had risen sharply on attention as a key robotics component supplier for Hyundai Motor Group, but a share price decline among global peers has lowered expectations for Hyundai Mobis. Still, the analysis found ample upside potential despite the reduced target price.
Shinhan Securities lowered its target price for Hyundai Mobis to 790,000 won in a report Wednesday, down 12.2% from the previous 900,000 won. It maintained a buy rating.
The reason for the target price cut was not a weak earnings outlook. Hyundai Mobis’s earnings estimates were maintained, but as share prices declined among Hyundai Motor and global peers related to software-defined vehicles (SDV), the target price-to-earnings ratio (PER) was lowered to 17.3 times from the previous 19.5 times. The firm explained that a 15% discount was applied due to lower profitability compared with the peer group, which is composed of autonomous driving, SDV, and robotics companies.
Hyundai Mobis shares stood at 498,000 won as of 10:38 a.m., up 0.81% from the previous session. The stock fell early in the session as a sell-side sidecar was triggered on the KOSPI, but it turned higher. Although the target price was lowered, about 59% upside remains compared with the current share price.
According to Shinhan Securities, Hyundai Mobis’s second-quarter operating profit is projected at 892.1 billion won, up 2.5% from a year earlier, in line with the market consensus of 915.1 billion won. With the after-sales division defending profitability at an operating margin of 26.1%, the manufacturing division’s loss is expected to narrow to between 60 billion and 80 billion won in the second quarter from about 120 billion won in the first quarter.
The robotics business that Hyundai Mobis operates is seen as a factor that will lift the stock going forward. In particular, the report projected that over the medium to long term, robot actuators will be central to the expansion of Hyundai Mobis’s valuation.
“Assuming about 31 actuators are installed in one Boston Dynamics Atlas robot at a unit price of 500 to 1,000 dollars, Hyundai Mobis’s revenue per unit is about 16,000 to 31,000 dollars,” said Park Kwang-rae, research fellow at Shinhan Securities. “The current market capitalization does not sufficiently reflect the normalization of manufacturing and the robot actuator option.”
