+ Publier Publicitaire GRATUIT !
Stats d'annonce: Dernier 24h - 82, actuel - 1059, total - 74573

Hyundai Humbled as Investors Abandon Auto Industry's Darling

7 Juin 2015 - Automotive News

Hyundai Humbled as Investors Abandon Auto Industry's Darling

A year ago, Hyundai Motor Co. analysts were predicting the stock would be breaking record highs by about now.

They were wrong. Shares of South Korea’s largest carmaker tumbled 10% on Tuesday to their lowest close since August 2010, making Hyundai the worst-performing stock among any major automaker in the past year.

It’s been a sobering 12 months for a company that until a few years ago was posting record profits and rattling larger competitors such as Volkswagen AG. Today, the automaker is facing headwinds as foreign brands catch on in Korea and unfavorable exchange rates undermine Hyundai’s ability to compete against the likes of Toyota Motor Corp.

“It’s hard to see any short-term fix to Hyundai’s problems at this point,” Lee Suc Won, head of equities at HI Asset Management Co., which oversees about $11 billion including Hyundai Motor shares, said by phone in Seoul. “I’m holding partmakers on top of a very small Hyundai stake, but think I may need to review that.”

The latest development that spooked investors came Monday, when Hyundai announced that domestic and overseas sales in May declined for a second consecutive month. Local deliveries fell 8.2%, while overseas sales dropped 6.1%.

Hyundai’s offer of interest-free loans, a tactic it last used during the Asian financial crisis almost two decades ago, wasn’t enough to entice buyers at home. Its sales have declined this year in China, the company’s biggest market, while gains in the U.S. have come on the back of an increase in incentives.

Sedan-heavy lineup

One reason could be that the automaker offers more sedans than SUVs, which have gained popularity in an increasing number of markets, including China. Hyundai offers 10 sedans in South Korea including four in the premium category, while the SUV lineup in the country consists of four models.

None of Hyundai’s vehicles ranked among China’s 10 best-selling SUVs in the first quarter. In April, Hyundai showed a version of its revamped Tucson SUV at the Shanghai auto show that it plans to introduce in China this year. And on Tuesday the company said it will introduce its new Creta SUV in India in the second half.

These steps haven’t encouraged investors. The automaker’s shares have dropped 18% this year, in contrast to the 8.5% gain in the key Kospi index.

A year ago, 48 analysts tracking the company had a 12-month target price of more than 300,000 won, according to data compiled by Bloomberg. Their current price target is 207,868 won. The stock closed at 138,500 won today.

Corporate governance

The automaker faced calls from investors last year to improve corporate governance after a real estate purchase for three times the property’s assessed value sparked a rout in the stock. Hyundai and its two affiliates, Kia Motors Corp. and Hyundai Mobis Co., in September won a bid to purchase a land site in Seoul for 10.6 trillion won ($9.5 billion).

In April, the company said it will set up an independent committee within the board of directors to improve decision-making by reflecting minority shareholders’ rights.

Hyundai will continue to “face some difficulties in a very competitive environment especially with a weaker yen and euro,” the company said in an e-mailed response to questions. “With major product launches such as the Tucson and Elantra later this year, we are confident that we can overcome these difficulties.”

The carmaker will probably post its sixth straight quarter of profit decline in the three months ending June 30, according to the average of 23 analysts’ estimates compiled by Bloomberg.

The currency will also weigh on its earnings. A stronger won, which gained about 12% against the yen in the past 12 months, has given its Japanese rivals a competitive edge as they can cut prices without affecting revenue when it’s converted into their home currency.

The currency environment “isn’t favorable,” said Lee Jin Woo, a Seoul-based money manager at KTB Asset Management Co. “I may have to further trim holdings in Hyundai and its parts makers.”

Nouvelles par Tags

2011 models2012 models3D printing458 italia6-series coupeA1A2abc motorsaccidentaccidentsaccordACIMacuraadvertisingafricaairbagsairbusairportalcotestalfaalfa romeoalgeriaamazonamphibiousandroidAnil BachooappappleappointmentsappsarabiaargentinaArtashok leylandasiaastonaston martinauctionaudiaustraliaaustriaautoauto showautonomous carautonomus carAutopilotaventadorawardsAxessbahrain grand prixBAIbajajBangkok Motor ShowBangladeshbatmobilebatterybattlebeachesbeetleBeijing Motor ShowBelgiumbentleybernie ecclestonebetamaxbicyclebicyclesbikebikesbiodieselbmwboatsBogota Auto ShowBois-Marchand accidentBologna Motor ShowbondboschBPObrabusbrazilbribesbridgestonebriobugattibuggybuickburnoutbusbusesbuyingbydcadillaccamaroCanadacarcar buying tipscar dealerscar importcar marketcar rentcar rentalcar sharingcar theftcar washCarPlaycarscartingCCIDCCTVCEBcelebretiescelebritiesChengdu Motor ShowcherychevroletChicago Auto ShowchinaChris Evanschryslercitroencivicclassicclassic carsclassicscomparisonconceptconceptsconvertiblecorruptioncorvetteCourtsCPBcr-vcrashcrash testscrossovercrowdfundingCubaCurepipeCUVCWAdaciadaihatsudaimlerdakardartzdash camdashcamdatsunDelhi Auto ExpodesignDetroitDetroit Auto Showdieseldiesel scandalDIYDLCdodgedragdrag battledrag racedrag racingdriftdriftingdriverless cardrivingdriving licensedriving schooldriving schoolsdriving testdriving tipsdronesdrunk drivingdsDubaiDubai Motor Showducatiearthquakeebeneecoecologyeconomyelectricengen motor showengineenginesEOCethanoletios livaEUEuropeeveventsexpofacebookfakeFast And FuriousFernando AlonsoferrariferryfiatfiestafilmsfinancesfinlandFirefiskerfitness centerFlacqFlic-en-FlacFloodsflying carFootballForbach accidentforce indiafordformula1forza motorsportFrancefrankfurtfrankfurt motor showfraudfuelfuel economy scandalfuel stationfuel stationsfunnyfutureGaikindo Indonesia International Auto ShowgamesgeargeelygenesisGeneva Auto Showgeneva motor showGermanygirlsgmgodzillagolfGoodlandsgooglegoogle glassGoProgovernmentgpsgran turismogrand tourgreat wallgreecegreengreen energygrnoGRSE accidentGTAGymkhanahackershamannharley-davidsonHatchbackhellcatherohistoryholdenHollandhondaHong Konghorsepower falsifyinghospitalshot wheelshotelshoverboardhow toHuayrahummerhumorhurricanehybridhydrogenhyundaii3i40ICACiframacIIHSIMCimportindiaIndian OilindicaIndonesiaIndonesia International Motor Showindonesia motor showinfinitiInfinityinfrastructureinsuranceinteriorinteriorsiPadiphoneiranirelandIRPisraelisuzuitaliaItalyjaguarjamesjames bondJames Mayjapanjapaneese carsjapanese carjapanese carsjazzJDMjeepJeremy Clarksonjettakartkawasakikei carken blockKenyakhankiaKoenigseggkoreaKTMLALA Auto Showlamborghinilancialandland cruiserland roverlawsleallegolexuslight metroLionel Messilotuslow cost carLRTluxuryluxury carsm3mad maxMadagascarmahindramaintenancemalaysiamanmapsmarketmarketingmartinmarutimaruti suzukimaseratiMatt LeBlancMauritiansmauritiusmaybachmazdaMcLarenmercedesmetroMetro Expressmexicomichael schumacherminimitsubishiMMMmonacoMontebello accidentmontereymoparMoroccomotomotormotor showMotor vehicle test centremotorcyclemotorsportmotorsportsmoviesmpvMRAmugenMusicmustangMVDANandanee Soornacknanonascarnavigation systemnavigation systemsNavin RamgoolamNCGNDUNepalnetherlandsnew york auto shownew zealandnfsNHTSANigerianissanissannorwayNTANTCoff-roadoffroadOlympic GamesopelpaganiPakistanParisparis motor showparkingPebble Beachpenaltiespenalty pointspeugeotPhilippinespickuppickupspininfarinapirelliplayboyPNQpolandpolarispolicepoliticspollutionpontiacporscheporsheportPort LouisPort-LouisPPCPPPprankpricespriusproguardprotestsprotonPSApublic transportQ3qorosquatre-bornesr8Raceracingrallyramrangerange roverratingsRDArecallsrecordrecordsred bullrenaultrenderingrent a carreplicaReunionRHTRichard DuvalRichard HammondRing Roadrioroadroad accidentroad rules & regulationsroad safetyRoad Traffic ActRoad Traffic Amendment Actroadsroads safetyrobotsRodriguesrolls-royceromeoRose-HillroverRoyal EnfieldRRSRSUrumoursRussiasaabsafetysafety ratingssafety testssalesamsungsamusao paulo auto showSao Paulo Motor Showsaudisaudi arabiascamscandalscaniaschool busscooterscootersseatsecond hand carssecond hand cars importself driving carself-drivingself-driving carself-driving carsSEMASEMA showSeoul Motor Showservice stationsShanghaishanghai motor showshelbyShellshowsingaporeskodaSlovakiasmartsoreze accidentsoulsound systemssouthsouth africasouth koreaspainspare partsspeed camerasspeedingsportSportscarspy shotsssang yongSsangYongstar warsstartupstatisticsSTCstreet racingstrikestudysubarusudysupercarssurveySUVsuzukiSwedenswiftSwitzerlandTATaiwantakataTarisa Resorttatataxtax fraudtaxestaxiTBStechnlogytechnolgytechnologyTerre-Rouge–VerdunteslateststhailandThailand International Motor ExpothefttipstiresTMRSUtokyoTokyo Auto Salontokyo motor showtoptop geartoyotatoystrailertransformerstransporttrendstrickstriumphtrucktruckstsunamituningTurkeytvstyresUAEuberUBSukukraineunionsuomuralUSused carused carsVacoasvanvarma casevehicle inspectionVehiclesvelostervideovietnamVintagevintage carsVipervolkswagenvolvovwwheelsWorldyamahayariszagato
Vendez Votre Auto