J.P. Morgan South Korea FTM 6 Jul 26 Korea autos and batteries; Korea Defense; Korea Utilities & Nuclear EPC and More

研报英文原文证据摘录

J.P. Morgan South Korea FTM 6 Jul 26 Korea autos and batteries; Korea Defense; Korea Utilities & Nuclear EPC and More

Asia Pacific Equity Research

South Korea First to Market 06 July 2026

Top Stories

Korea autos and batteries (Sonny Lee)

Key takeaways from our Asia marketing trip

For auto OEMs, sentiment likely needs the next robotics milestones: HMG’s (Hyundai Motor Group) robotics training center

opening this summer and clearer investment plans/subsidiaries’ role alignment by the year-end. Kia remains fundamentally

preferred ( 6x 2027E P/E; >4% dividend yield, on our estimates), but Hyundai Motor (HMC) could re-rate if the robotics

narrative re-heats. Auto parts are increasingly treated as “robot leverage” trades; we have seen many investors doubt actuator

economics, yet actuator headlines could still drive flows/positioning, making Mobis/Mando tough shorts. In batteries, investors

are more conservative than our US ESS framework (~300GWh by 2030E incl. ~140GWh AIDC), but Samsung SDI (SDI)

continues to draw selective buying on BBU/ESS strength and narrowing EV losses, while materials stay broadly disliked. We

remain OW on HMC/Kia and SDI; remain sidelined on battery materials and auto parts.

Korea Defense (Simon Han)

What’s new in Korea defense? Position for 2Q beats and NATO Summit readthroughs; LIG D&A on

Positive Catalyst Watch

Korea defense & shipbuilding shares were stronger this week (Hanwha Aerospace +18%, LIG D&A +8%, Hyundai Rotem

+19%, KAI +14%, Hanwha Ocean +7%, HHI +3% vs. KOSPI -4%), rebounding from the painful sell-down in June as we think

investors are gradually positioning for the 2Q earnings season (see our defense and shipbuilding previews). We place LIG