[Featured Stock] Hyundai Motor Hits 52-Week High on Expectations for India IPO and Enhanced Shareholder Returns

Hyundai Motor's stock price is on the rise. Expectations that shareholder return policies will be strengthened through an Indian initial public offering (IPO) appear to be influencing the stock price.

At 9:38 a.m. on the 18th, Hyundai Motor was trading at 286,000 KRW, up 2.69% from the previous day. During the session, it rose to 289,000 KRW, marking a 52-week high.

Im Eun-young, a researcher at Samsung Securities, said, "Hyundai Motor can use the cash inflow from the Indian IPO to invest in future vehicles and strengthen shareholder return policies," adding, "If the company buys back its shares, it will lead to a significant rise in the stock price." She continued, "The Indian government is restricting the entry of Chinese companies by not allowing factories from BYD and Changsheng to be established," and said, "In Tesla's case, investment burdens have delayed the construction of factories in Mexico and India, so the oligopoly structure where three local companies and Hyundai Motor Group hold 80% market share is expected to continue for a long time."

Regarding shareholder return policies, researcher Im added, "Share buybacks are expected to continue until the first half of 2025," and "The total shareholder return ratio is estimated to be around 30-33% over the next three years, with annual share buybacks and cancellations of about 1 trillion KRW expected."