[Infostock Daily= Reporter An Hoe Hyun] eBEST Investment & Securities raised its target price from KRW 38,000 to KRW 41,000 on the 14th, saying that Mando has enough momentum to boost its share price, including sales growth and customer diversification in the second half of this year.
"As the production trends of Hyundai Motor Group and major U.S. OEM, which are major customers, are showing a clear increase in September, top-line growth will be resilient from 3Q," said eBEST Investment & Securities, adding, "In particular, GM and Ford have significantly increased production since August to respond to demand for pickup trucks, and OEM, a U.S. electric car, will also have a high growth rate in Mando's North American business because the mass production system of new models will start in September."
Growth due to diversification of customer companies in Mando is also positive. "OEM customers will be able to preoccupy their competitive position by evolving the specifications of existing traditional suspensions, braking, and steering based on by-wire," the company said, adding, "Because more sophisticated electronic steering and control are required due to the advancement of the autonomous driving system.
"From the level 3 autonomous driving system, demand will increase significantly, led by large companies," the company said, adding, "Mando has been showing strengths in this field since then, and based on this, it will show a clear advantage in the electric vehicle parts market."
"The logistics market is rapidly spreading and the development of autonomous vehicles for logistics necessary for last mile delivery is in full swing," the company also said, adding, "Most of these vehicles are based on the introduction of by-wire and ADAS systems, which is the same as Mando's recent development trends."
Reporter An Hoe Hyun ahh@infostock.co.kr
