[Click eStock] "Iljin Hysolus, Initial Sales Pace to Slow... Target Price ↓"

[Asia Economy Reporter Hwang Yoon-joo] Eugene Investment & Securities evaluated on the 28th that Iljin Hysolus is likely to be affected in sales due to changes in the policies of its client companies. Accordingly, it maintained a 'Buy' investment rating but lowered the target price to 60,000 KRW.

Researcher Han Byung-hwa of Eugene Investment & Securities stated, "As the client's policy shifts from passenger cars to commercial vehicles, the initial expected sales pace will slow down."

However, considering the possibility of overseas expansion, the medium- to long-term investment attractiveness remains. Researcher Han judged, "Expectations for overseas expansion in Europe and the United States remain, so the medium- to long-term investment appeal is high."

The European Union (EU) has advanced the mandatory year for hydrogen vehicle charging stations from 2030 to 2028 and revised the spacing on major trunk roads from 150 km to 100 km, planning to secure more than 1,500 charging stations. In China, with the new launch of hydrogen passenger and commercial vehicles, the number of hydrogen vehicle sales appears to be rapidly increasing.

Also, the confirmation of policy support is positive. The Yoon Seok-yeol administration recently held a Hydrogen Economy Committee meeting and announced measures to foster the hydrogen industry and companies. It was explained that since both progressive and conservative governments have agreed to support, a basis for the medium- to long-term growth of domestic hydrogen industry-related companies has been established.

Specifically, the government aims to secure 30,000 hydrogen commercial vehicles by 2030 and plans to expand related subsidies. Accordingly, the hydrogen transition of trucks, buses, and special-purpose vehicles is expected to expand.

Researcher Han predicted, "Sales of domestic hydrogen commercial vehicles such as buses and trucks are expected to more than double next year compared to this year," and "Iljin Hysolus's related sales will also increase."