Hitachi, NEC, KSOE/HHI, KAI (D/G to N), Thoughts on KR & HED (-15%), CH Auto Export Update

研报英文原文证据摘录

Hitachi, NEC, KSOE/HHI, KAI (D/G to N), Thoughts on KR & HED (-15%), CH Auto Export Update

d AI DC engine opportunities provide further upside, and while the PT is cut to W710K on a lower P/

orderbook multiple, we remain Overweight given the solid core outlook and multiple option values. For AI DC engine, we

view the company’s comments as positive, with confirmation for the need for capacity addition (from current annual

production of 3GW) based on multiple inquiries, but also urged fostering the AI DC engine related value chain altogether for

smooth execution.

• Hyundai Autoever (307950 KS, Mild Beat, PT Cut to W390K): Hyundai Autoever’s 2Q OP of W91bn was a slight beat vs.

JPMe/BBGe, driven by strong Enterprise IT (SI/ITO) that offset softer in-vehicle SW, where navigation revenue fell 8% y/y

and remains a key headwind given its high historical margin and large share of the SW division. Middleware continued to

grow, but navigation adoption is subdued and may face further pressure as alternative apps become available on HMG’s new

PLEOS platform. Robotics-related revenue is expected to be back-end loaded into 2028. We cut our PT to W390,000 (from

W750,000) and shift to a 30x mid-cycle P/E amid sector de-rating and slower SW margin improvement. JPM N.

• Eicher Motor(EIM IN, Mild Beat, PT hike to 8,420 RS): EIM’s 1QFY27 results were slightly ahead of expectations, with

consolidated revenue and EBITDA both 3–4% above estimates and margins in line at 24.0%. Management highlighted strong

demand, low inventory, and robust booking momentum. Capacity expansion plans—including brownfield and greenfield

projects—should drive growth to 2.45m motorcycles per year by FY30. Export growth remains strong, especially in Brazil,

and further expansion is planned in ASEAN.