1. What’s the Share Buyback About?

Hyundai Mobis plans to repurchase 1,071,621 common shares on the open market and cancel them on November 3, 2025. This will reduce the number of outstanding shares, potentially leading to an increase in earnings per share (EPS).

2. Strong Q1 Earnings, But Challenges Remain

Hyundai Mobis reported strong Q1 2025 earnings, with revenue and operating profit up 6.4% and 43.1% year-over-year, respectively. Overseas business expansion offset the sluggish domestic market. However, continued weakness in the domestic market, raw material price volatility, and intensifying competition in the EV market remain risk factors.

3. Impact of the Buyback on Stock Price

Share buybacks often lead to increased EPS, which can put upward pressure on the stock price. It’s also seen as a positive sign of enhanced shareholder return policy, potentially boosting market confidence and improving investor sentiment. While a short-term price increase is likely, long-term stock movements depend on macroeconomic factors and the company’s performance.

4. Investor Action Plan

The positive Q1 results and share buyback announcement are expected to positively impact the stock price in the short term. However, it’s crucial to continuously monitor macroeconomic factors like global economic conditions, raw material price fluctuations, and intensifying EV market competition, along with the company’s performance. Pay close attention to Hyundai Mobis’s domestic market recovery strategy and risk management strategy for raw material price fluctuations.