Korea/Asia, Events, IPOs, Douglas Research Advisory

Douglas Kim

Nearly 25 years of experience in analyzing hundreds of companies, especially in Asia. Deep expertise in the following sectors:
- Technology (E-commerce, SaaS, Internet)
- Consumer 
- Special Situations/Deep Value Plays
- Holdcos/Stubs
- Asian Unicorns/Private Companies

Korea/Asia, Events, IPOs

More than Just a Holdco Transition Play? A Look Underneath the Hood.

Commercial EVs and Autonomous Vehicles in China: Pace of Adoption May Surprise (Part 1 of 3)

Equity Capital Markets

<ul>
<li>
<strong>We recommend investors to pass on the Motrex IPO deal.</strong> The IPO price range is 31,200 won to 38,300 won. At the low IPO price range, this would suggest market cap of 174 billion won. A key comparison of Motrex is <a href="https://www.smartkarma.com/entities/6089" target="_blank" data-smartkarma-citation="entities:6089:1">Hyundai Mobis Co Ltd (012330 KS)</a>, which is trading at 8x P/E (2017). When you could buy Hyundai Mobis at 8x P/E, why would investors want to buy Motrex at more than 8x P/E?</li>
<li>Despite the rosy industry growth projections for navigation, audio system, and various in-vehicle infotainment (IVI)…</li>
</ul>



We recommend investors to pass on the Motrex IPO deal. The IPO price range is 31,200 won to 38,300 won. At the low IPO price range, this would suggest market cap of 174 billion won. A key comparison of Motrex is Hyundai Mobis Co Ltd (012330 KS), which is trading at 8x P/E (2017). When you could buy Hyundai Mobis at 8x P/E, why would investors want to buy Motrex at more than 8x P/E?
Despite the rosy industry growth projections for navigation, audio system, and various in-vehicle infotainment (IVI)…


Motrex Co.,Ltd

Motrex IPO Preview - Valuation Analysis