SK Securities cuts target for Hyundai Rotem stock from KRW 310,000 to KRW 180,000

Published on 10/20/2026 at 02:35 | Editorial responsibility: Rafael Müller, Editor-in-Chief AD HOC NEWS

Third-quarter operating profit fell 11.0 percent to KRW 247.1 billion on October 19, 2026. For Hyundai Rotem stock, backlog stood at KRW 29.14 trillion.

Target reset and operating figures

SK Securities set a KRW 180,000 target on October 20, 2026.
Third-quarter operating profit reached KRW 247.1 billion, down 11.0 percent.
Hyundai Rotem's backlog stood at KRW 29.14 trillion at September 30, 2026.

Hyundai Rotem, KR7064350002, Illustration mit AI erstellt.

Hyundai Rotem (ISIN KR7064350002) is facing a lower analyst target of KRW 180,000 after third-quarter operating profit fell 11.0 percent year over year to KRW 247.1 billion. On October 20, 2026, Chosunbiz reported that SK Securities cut its target from KRW 310,000 while keeping its Buy rating.

October earnings reset targets

The target reduction followed provisional third-quarter results released on October 19, 2026. Revenue rose 0.1 percent year over year to KRW 1.6207 trillion, while net income declined 10.3 percent to KRW 178.0 billion, according to Yonhap.

The earnings mix explains the cautious tone. Operating profit came in 10.5 percent below the KRW 276.0 billion market expectation, while the provisional operating margin fell to 15.3 percent from a year earlier. SK Securities cited uncertainty around the order pipeline, weaker expected profitability next year and product-mix changes, Edaily reported on October 20, 2026.

What does the backlog mean?

Hyundai Rotem ended the third quarter with an order backlog of KRW 29.142 trillion. Rail and systems accounted for KRW 19.031 trillion, or 65.3 percent, while aerospace, defense, robotics and hydrogen represented KRW 9.5228 trillion, according to Chosunbiz.

Three dated developments

On October 19, 2026, Hyundai Rotem reported third-quarter operating profit of KRW 247.1 billion. On October 19, 2026, the company said it planned to acquire Hyundai Wia's defense business for KRW 358.4 billion, according to Yonhap. On October 20, 2026, SK Securities lowered its target to KRW 180,000 from KRW 310,000.

Next milestones for exports

SK Securities said a review of Peru's K2 project is scheduled for November 2026, with a contract possible in early 2027. The same report pointed to potential Romanian orders in the first quarter of 2027, while political and fiscal uncertainty continues to weigh on the Iraq pipeline.

Stock trades in Seoul

Hyundai Rotem traded at KRW 89,300 on the Korea Exchange at 9:14 a.m. KST on October 20, 2026. Its market capitalization was KRW 9.7 trillion at that timestamp.