On the morning of the 24th, the stock price of HD Hyundai Infracore rose more than 10%, setting a new record for the highest price of the year. Ahead of the approval of the merger resolution with HD Hyundai Construction Equipment, the strong performance in the second quarter is interpreted as attracting buying interest.
As of 9:20 a.m. on that day, HD Hyundai Infracore was trading at 14,880 won, up 1,650 won (12.47%) compared to the previous trading day on the securities market. After jumping 18% the previous day, the stock price continued to soar, reaching 15,050 won, marking a new highest price of the year.
According to the Financial Supervisory Service's electronic disclosure system (Dart) on the 24th, HD Hyundai Infracore recorded a consolidated revenue of 1.1846 trillion won and an operating profit of 105.8 billion won for the second quarter of this year. This represents a 7% and 30% increase, respectively, compared to the same period last year.
It is interpreted that buying interest surged as revenue returned to growth for the first time in seven quarters. While global demand shows a gradual recovery, emerging markets, particularly in Southeast Asia and Africa, have led to an increase in revenue.
Lee Dong-heon, a researcher at Shinhan Investment Corporation, noted, "The second quarter recorded a performance surprise with high-margin sales of engines," and added, "In the second half, we expect to enter a growth phase, propelled by increased mining demand, interest rate cuts, and finalized tariffs." He then adjusted his investment opinion from 'trading buy' to 'buy' and raised the target price from 8,800 won to 16,000 won.
Meanwhile, HD Hyundai Infracore is in the process of buying back and retiring its own shares ahead of the merger resolution with HD Hyundai Construction Equipment. They plan to be newly launched as HD Construction Equipment on the merger date of January 1 next year.