SOUTH KOREA FIRST TO MARKET

研报英文原文证据摘录

SOUTH KOREA FIRST TO MARKET

Asia Pacific Equity Research

South Korea First to Market 08 July 2026

Top Stories

| Korea Auto Parts & Robotics (Sonny Lee)

Risk/reward looks more attractive after 36%/37% correction from the peak; U/G Mobis/Mando to OW/

N

We upgrade Hyundai Mobis (Mobis; N to OW) and HL Mando (Mando; UW to N) as prices now largely reflect core businesses,

leaving robot actuators as incremental optionality. In our Mobis SOTP, the core auto parts business (W44tn) plus its stake in the

robotics business (W6tn) of Hyundai Motor Group (HMG) broadly explains the current market cap, with incremental upside from

actuators (W13tn). For Mando, we still see limited visibility on actuator order wins and therefore assign limited benefit of the

doubt, but valuation is effectively supported by the implied value of the core franchise (W2.3tn), roughly in-line with the current

market cap. Investor feedback frames both as “robot leverage” plays: actuators may not be structurally attractive, but can

remain a narrative catalyst amid robotics momentum. We expect 2Q to be a non-event: commodity headwinds and FX tailwinds

would likely offset; Mobis also has a structural A/S profit boost.

Korea Autos (Sonny Lee)

2Q preview: HMC softer, Kia in-line; cost inflation elevated, divergence led by volumes

HMC delivered 2Q global retail sales of 999k (-4% y/y), while Kia’s 2Q retail sales were robust at 837k (+6% y/y). We forecast

OP of W2.9tn for both HMC/Kia (vs. BBGe W3.1tn/W2.8tn): HMC is likely to fall short of BBGe on lower UTR and input cost

inflation, while Kia should be closer on resilient UTR. We estimate commodity inflation (aluminum/copper/plastics/DRAM)

implies ~W0.35tn/~W0.25tn OP impact in 2Q, partly offset by FX tailwinds of ~W0.5tn/~W0.4tn per quarter, though inflation